Fiscal Year Ended September 30, 2014
COMPREHENSIVE ANNUAL FINANCIAL REPORT Ada County, Idaho
ADA COUNTY, IDAHO
COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2014
CHRISTOPHER D. RICH, AUDITOR
Phil McGrane, Chief Deputy
Kathleen Graves, Controller
Prepared by Accounting Department
Ada County Comprehensive Annual Financial Report For the Year Ended September 30, 2014
TABLE OF CONTENTS
INTRODUCTORY SECTION
Letter of Transmittal ...... 1 GFOA Certificate of Achievement ...... 7 List of Elected County Officials and Department Directors ...... 8 Organizational Chart ...... 9 Classification of Funds ...... 10
FINANCIAL SECTION
Independent Auditor’s Report ...... 11 Management’s Discussion and Analysis ...... 13
BASIC FINANCIAL STATEMENTS
Government-wide Financial Statements Statement of Net Position ...... 26 Statement of Activities ...... 27 Governmental Fund Financial Statements Narrative… ...... 28 Balance Sheet ...... 29 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Position ...... 30 Statement of Revenues, Expenditures, and Changes in Fund Balances ...... 31 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities ...... 32 Proprietary Fund Financial Statements Narrative… ...... 33 Statement of Net Position ...... 34 Statement of Revenues, Expenses, and Changes in Fund Net Position ...... 35 Statement of Cash Flows ...... 36 Fiduciary Fund Financial Statements Narrative… ...... 38 Statement of Fiduciary Net Position ...... 39 Index for Notes to the Financial Statements ...... 40 Notes to the Financial Statements ...... 41
REQUIRED SUPPLEMENTARY INFORMATION
Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual (Non-GAAP Cash Basis) – General Fund ...... 61 Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual (Non-GAAP Cash Basis) – Major Special Revenue Funds Charities and Welfare ...... 65 Note to Required Supplementary Information – Basis of Budgetary Reporting, Stewardship, Compliance, and Accountability ...... 66
COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES
Non-major Governmental Funds Narrative… ...... 68 Combining Balance Sheet...... 70 Combining Statement of Revenues, Expenditures, and Changes in Fund Balances ...... 72
Ada County
Table of Contents
Budget and Actual Comparisons for Governmental Funds Other Than the General and Major Special Revenue Funds: Schedule of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual (Non-GAAP Cash Basis) Capital Projects Fund ...... 74 Special Revenue Funds: Public Health ...... 75 Weed Control ...... 76 Pest Extermination ...... 77 Parks and Recreation ...... 78 Ad Valorem ...... 79 Court Monitoring ...... 80 District Court ...... 81 Drug Court/Mental Health Court ...... 82 County Court Facilities ...... 83 Waterways ...... 84 Emergency Communications ...... 85 Emergency Management…...... 86 Veterans Memorial ...... 87 Mosquito Abatement ...... 88 Consolidated Elections ...... 89 Internal Service Funds Narrative… ...... 90 Combining Statement of Net Position ...... 91 Combining Statement of Revenues, Expenses, and Changes in Fund Net Position ...... 92 Combining Statement of Cash Flows ...... 93 Agency Funds Narrative… ...... 95 Combining Statement of Assets and Liabilities ...... 96 Combining Statement of Changes in Assets and Liabilities ...... 97
STATISTICAL SECTION
Schedule 1 – Net Position by Component ...... 100 Schedule 2 – Changes in Net Position ...... 102 Schedule 3 – Fund Balances, Governmental Funds ...... 104 Schedule 4 – Changes in Fund Balances, Governmental Funds ...... 105 Schedule 5 – Assessed Value and Actual Value of Taxable Property … ...... 106 Schedule 6 – Direct and Overlapping Property Tax Rates ...... 107 Schedule 7 – Principal Property Taxpayers ...... 108 Schedule 8 – Property Tax Levies and Collections ...... 109 Schedule 9 – Ratios of Outstanding Debt by Type ...... 110 Schedule 10 – Ratios of Net General Bonded Debt Outstanding ...... 111 Schedule 11 – Direct and Overlapping Governmental Activities Debt ...... 112 Schedule 12 – Legal Debt Margin Information ...... 113 Schedule 13 – Pledged-Revenue Coverage ...... 114 Schedule 14 – Demographic and Economic Statistics ...... 115 Schedule 15 – Principal Employers ...... 116 Schedule 16 – Full-Time Equivalent County Government Employees by Function/Program ...... 117 Schedule 17 – Operating Indicators by Function/Program ...... 118 Schedule 18 – Capital Asset Statistics by Function/Program ...... 119
SINGLE AUDIT
Reports of Independent Public Accountants: Compliance and Internal Controls...... 120 Compliance and Internal Controls Related to Federal Programs ...... 122 Schedule of Expenditures of Federal Awards ...... 124 Notes to Schedule of Expenditures of Federal Awards ...... 127 Schedule of Findings and Questioned Costs ...... 128
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INTRODUCTORY SECTION
C hr istopher D. Rich Ada County Clerk of the District Court Ex-officio Auditor and Recorder Ada County Courthouse #1196, 200 W. Front Street, Boise ID 83702-7300 Phil McGrane, JD Phone (208) 287-6879 Fax (208) 287-6909 Chief Deputy
December 22, 2014
To the Citizens of Ada County, Idaho:
State law requires that all general-purpose local governments with an annual budget that exceeds two hundred fifty thousand dollars annually submit a complete set of financial statements to the State of Idaho’s legislative council. The financial statements must be presented in conformity with generally accepted accounting principles (GAAP) and audited in accordance with generally accepted auditing standards by a firm of licensed certified public accountants. Pursuant to that requirement, we hereby issue the Comprehensive Annual Financial Report (CAFR) of Ada County, Idaho (“County”), for the fiscal year ended September 30, 2014.
This report consists of management’s representations concerning the finances of the County. Consequently, management assumes full responsibility for the completeness and reliability of all of the information presented in this report. To provide a reasonable basis for making these representations, management of the County has established a comprehensive internal control framework that is designed both to protect the County’s assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the County’s financial statements in conformity with GAAP. Because the cost of internal controls should not outweigh their benefits, the County’s comprehensive framework of internal controls has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects.
The County’s financial statements have been audited by Eide Bailly LLP, a firm of licensed certified public accountants. The goal of the independent audit was to provide reasonable assurance that the financial statements of the County for the fiscal year ended September 30, 2014, are free of material misstatement. The audit was conducted in accordance with generally accepted governmental auditing standards. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the CAFR; i.e., assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditor concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified opinion that the County’s financial statements for the fiscal year ended September 30, 2014, are fairly presented in conformity with GAAP. The independent auditor’s report is presented as the first component of the Financial Section of this report.
The independent audit of the financial statements of the County was part of a broader, federally mandated “Single Audit” designed to meet the special needs of federal grantor agencies. The standards governing Single Audit engagements require the independent
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Civil Court Court Assistance Officer Criminal Court Elections Payroll Recorder Room 1155 Room 1158 Room 1190 400 Benjamin Ln, Ste 100 Room 1193 Room 1208 Ph (208) 287-6900 Ph (208) 287-6963 Ph (208) 287-6900 Boise, ID 83704-5094 Ph (208) 287-6882 Ph (208) 287-6840 Fx (208) 287-6919 Fx (208) 287-6919 Fx (208) 287-6919 Ph (208) 287-6860 Fx (208) 287-6989 Fx (208) 287-6849 Fx (208) 287-6939 auditor to report not only on the fair presentation of the financial statements, but also on the audited government’s internal controls and requirements involving the administration of federal awards. These reports are contained in the single audit section of this report.
GAAP require that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is designed to complement MD&A and should be read in conjunction with it. The County’s MD&A can be found immediately following the report of the independent auditors.
Profile of the Government
Ada County, established as a political subdivision of the State of Idaho on December 22, 1864, is located in the southwestern part of the state. It is the most populous county in Idaho, as well as the center for commerce and many industries. The County covers an area of 1,055 square miles, and the most recently released estimated population (for 2013) is 416,464 or 395 persons per square mile. Boise City is the county seat of Ada County and home to the State Capitol. Other incorporated cities within its boundaries are Eagle, Garden City, Kuna, Meridian and Star. Ada County is empowered to levy a property tax on both real and personal properties located within its boundaries.
A three member elected commission with overlapping terms governs the County. Responsibilities of the County Commissioners include passing ordinances, adopting the budget, and appointing the heads of the various departments. Other elected officials within the County are the Assessor, Clerk of the District Court, Coroner, Prosecutor, Sheriff and Treasurer.
The County provides services under general governmental functions as follows: police protection, prosecution and defense services, emergency disaster preparedness, general administrative services, court services, election services, property assessment and tax collections, code enforcement, parks and recreation, and health and welfare. In addition, emergency medical services, sanitation, fair activities, and billing services are provided under an enterprise fund concept, with user charges providing revenue to pay operating expenses. The streets and sidewalks in the County are owned and maintained by the Ada County Highway District – a separately governed taxing district.
The annual budget serves as the foundation for Ada County’s financial planning and control. The County budgets its revenues and expenditures, as is required by Idaho Code Section 31, Chapter 16. Following these guidelines, the County adopts annual appropriated budgets for General, Special Revenue, Capital Project and Enterprise
Funds. All appropriated budgets for Governmental and Proprietary Funds are adopted on a non-GAAP cash basis.
Prior to the third Monday in May, each elected official or department head submits to the Auditor's Office a proposed operating budget for the fiscal year commencing October 1. On or before the first Monday in August, the proposed budget is submitted to the County
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Commissioners for review and tentative approval. Public budget hearings are conducted by the Tuesday after Labor Day, and, upon conclusion, the County Commissioners legally adopt the budget. Actual expenditures for the ensuing fiscal year shall not exceed the appropriations legally adopted by the Commissioners.
The budget system is integrated with the County's accounting system to ensure management control on spending throughout the year. The level of budgetary control (level at which expenditures may not legally exceed the appropriations) is established by the personal services and other charges and services (including capital outlay) within the department and fund. The budgetary process is described in more detail in Note to Required Supplementary Information, beginning on page 66.
Budget-to-actual comparisons are provided in this report for each individual governmental fund for which an appropriated annual budget has been adopted. For the general fund and the charities and welfare fund, this comparison is presented on pages 61-65 as part of the Required Supplementary Information for the governmental funds. For other governmental funds with appropriated annual budgets, this comparison is presented in the “Combining Financial Statements” subsection of this report, which starts on page 74.
Factors Affecting Financial Condition
The information presented in the financial statements is perhaps best understood when it is considered from the broader perspective of the specific environment within which the County operates.
Local economy: The County has a diverse economy and has sustained solid economic growth. Ada County is the home to the world headquarters of major corporations such as J.R. Simplot, IDACORP, MWI Veterinary Supply, WinCo and Micron Technology. Advanced technology, production, education, healthcare, government, military, professional services, construction, wood products, food processing and distribution, agriculture, tourism, small manufacturing and retail establishments also provide employment for the area as well as a stable financial base for the local economy. Seven Ada County companies were recognized this year by Inc. magazine as among the 5,000 fastest growing in the country. Ataraxis is the top ranked Ada County company at 112.
Located within the County are two regional hospitals with multiple facilities and extensive associated medical services. Ada County is also home to Boise State University, the largest university in Idaho. Additionally, Ada County is the center of governmental facilities in Idaho – federal, state and local municipalities – which comprise significant portions of the County’s market value, but are exempt from ad valorem taxation under Idaho Code. Regardless of the current economic climate; healthcare, education and government have all experienced a rise in demand for services, which has led to an increase in new job creation.
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Several new developments are under construction. JUMP (Jack’s Urban Meeting Place in honor of JR Simplot), is a not-for-profit, interactive creative center and community gathering place in the heart of downtown Boise and also the new headquarters for the J.R. Simplot Company.
The Village at Meridian has opened for business and has become an economic center on the corner of the busiest intersection in Idaho. It is the home of several national businesses including Marshalls, Petco, Gap outlet and Chick-fil-A.
The Boise Tech Mall has been approved and development is underway for the one of a kind establishment that will house thirty different innovative companies and services dedicated to the residents and businesses of the greater Boise, Idaho area.
These projects will not only increase construction jobs but property values as well. Once these projects are complete, the economy will further strengthened by the increase in jobs these developments will provide.
Employment in Ada County is humming at rates close to those experienced before the recession. The County’s unemployment rate has decreased to 3.4 percent as of September 30, 2014; which is lower than both the statewide and national unemployment rates of 4.5 percent and 5.9 percent, respectively.
The County’s real estate market has improved from the financial crisis experienced by much of the nation in recent years. During the recession, residential median sale prices declined nearly 35%. Foreclosures and short-sale transactions dominated the residential market. The peak rates have been observed in high growth areas where speculative development was taking place. Overall, the market appreciation experienced during the early part of the last decade was negated by the decline in values in the past few years.
The real estate market has leveled off and improved but some leading indicators are still giving mixed messages in the Ada County Market. During fiscal year 2014 there were 632 homes placed in foreclosure, a decrease of 19.5% from the previous year. The average number of days on the market for residential properties has risen to 54 days according to IMLS, an increase of 20% from September 2013. The median sale price trend has finally reversed itself as prices have risen towards pre-recession values. Additionally, the number of newly constructed home sales decreased from 1,526 in fiscal year 2013 to 1,351 in fiscal year 2014.
Long-term financial planning: The County takes a conservative approach to budgeting; revenues must cover expenses. For fiscal year 2014, the County levied for a three percent increase in taxes and the new construction roll. Despite a brighter economic outlook for Ada County, capital purchases were limited again in fiscal year 2014 but 25 new positions (6 public safety, 13 judicial services, 4 general government and 2 sanitation) were added; 14 to directly address the mandate of three new judges assigned to Ada County by the Idaho Supreme Court.
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Financial policies: The majority of the County’s revenue (property tax) is received after the first quarter of the fiscal year. In order for the County to remain on a cash basis, three months’ worth of expenses are reserved and unavailable for budgeting. However, some funds collect enough revenue in the first quarter that a reservation is not necessary. This policy is evaluated every budget year against every budgeted fund.
Capital projects must be funded in advance before the County will negotiate a contract; as a result, certain funds must increase their fund balance.
The County closely monitors its Minimum Fund Balance Policy by keeping a risk allowance of $12 million of operating revenue on hand; also known as budget stabilization. The amount of the General Fund budget stabilization reserve at the end of fiscal 2014 was $7.6 million, approximately 63% of the desired amount. Ada County will be using $11 million of its fund balance to support the fiscal year 2015 budget.
Major initiatives: Early Payoff of Courthouse – Prior to the recession, year-end savings were set aside annually to facilitate an early payoff of the courthouse lease. August of 2015 will be the first date the courthouse bonds can be called. No property taxes were levied for the courthouse lease payments. Fees, rents, sales tax and savings were the county’s exclusive sources of revenue for the lease payments. With the early payoff there won’t be any more payments and the county will own the courthouse. Conversely, the treasurer will have less money to invest, meaning less interest revenue for the county. The most visible effect of the payoff will be our budget; it will be up $31 million. The real benefit to the paying off the courthouse seven years early is the savings; we will yavoid pa ing $6.2 million in interest on the lease.
Emergency Communications – The single most critical request in the Fiscal Year 2015 budget is for a new dispatch center. The current dispatch center is 40 years old and encompasses a mere 1,500 square feet. The space is over-utilized and overcrowded. Not only is dispatch out of space, its IT infrastructure is maximized and could potentially fail from overload. The FY15 budget is the first step in a multiyear process to assure that when Ada County residents call 9-1-1 they do not get a busy signal. $4.1 million dollars will be needed in the first year for the construction of the building and to acquire the necessary telecommunications and dispatch infrastructure, with an additional $3.2 million needed in Fiscal Year 2016 to complete the project. Paperless E-Court – Idaho’s 44 County Clerks will benefit from the Supreme Court’s transition from their paper based case management system to a paperless e-court. For the Ada County Clerk’s office, this is a no cost option as they work on behalf of the court. The Prosecutor and Public Defender are not so fortunate. They will receive certain compatible software modules as part of the switch, but their data migration will not be covered and there isn’t a module for the civil operation of the Prosecutor’s Office. The cost to migrate both offices to the new platform and acquire a new civil module is $672,000.
Pathway Repair – Parks and Recreation has budgeted $600,000 to bury the Penitentiary Canal beneath the Greenbelt along the Warm Springs pathway. This part of the Greenbelt is subject to significant erosion. Completing this project would help the county
5 avoid the kind of emergency closures a canal leak caused this spring that not only inconvenienced recreational users but jeopardized public safety.
Awards and Acknowledgments
The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to Ada County for its Comprehensive Annual Financial Report (CAFR) for the fiscal year ended September 30, 2013. This is the twenty-sixth consecutive year that Ada County has received this prestigious award. In order to be awarded a Certificate of Achievement, the County must publish an easily readable and efficiently organized CAFR that satisfies both GAAP and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe that our current CAFR continues to uphold the stringent guidelines the Certificate of Achievement Program requires; therefore we are submitting it to the GFOA to determine its eligibility for another certificate.
The preparation of this report has been a team effort by the County Auditor’s accounting department and could not have been accomplished without their continued dedication and professionalism. In addition, appreciation is extended to the Board of County Commissioners for their encouragement, assistance and approval.
Sincerely,
Christopher D. Rich Ada County Auditor
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Government Finance Officers Association
Certificate of Achievement for Excellence in Financial Reporting
Presented to
Ada County
Idaho
For its Comprehensive Annual Financial Report for the Fiscal Year Ended
September 30, 2013
Executive Director/CEO
7 ADA COUNTY, IDAHO ELECTED COUNTY OFFICIALS AND DEPARTMENT DIRECTORS SEPTEMBER 30, 2014
ELECTED COUNTY OFFICIALS
********************************************************************************************************************
COMMISSIONER - FIRST DISTRICT ------Jim Tibbs COMMISSIONER - SECOND DISTRICT------Richard L.Yzaguirre COMMISSIONER - THIRD DISTRICT ------David L. Case, Chairman ASSESSOR ------Robert H. McQuade CLERK/AUDITOR/RECORDER ------Christopher D. Rich CORONER ------Erwin L. Sonnenberg PROSECUTING ATTORNEY ------Greg H. Bower SHERIFF ------Gary L. Raney TREASURER ------Vicky McIntyre
DEPARTMENT DIRECTORS
********************************************************************************************************************
Charities and Welfare ------Christopher D. Rich Information Technology ------Leslie Penney Development Services - Building and Zoning ------Megan M. Leatherman District Court ------Larry D. Reiner Emergency Medical Services (EMS) ------Darby Weston Emergency Management ------Doug R. Hardman Juvenile ------Janet M. Wallace Operations------David P. Logan Public Defender ------Alan E. Trimming Administration ------David L. Case, Liaison Parks and Recreation/Waterways ------Scott Koberg Solid Waste Management ------David P. Logan Weed/Pest/Mosquito ------Brian K. Wilbur Western Idaho Fair ------Robert A. Batista
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ADA COUNTY, IDAHO ORGANIZATIONAL CHART
Ada County Electorate
Clerk of the Prosecuting Assessor Coroner Commissioners Sheriff Treasurer District Court Attorney
Consolidated Emergency Billing Services Motor Vehicle Elections Communications County Departments Charities & Ad Valorem Welfare 9
Dev Admin- Information Emergency EMS Fair Juvenile Parks Services istration Tech Mgmt.
Trial Drug/ Public Solid Mental Operations Mosquito Court Waterways Weed/Pest Defender Waste Health Admin. Court ADA COUNTY, IDAHO CLASSIFICATION OF FUNDS
Category Type Name
GOVERNMENTAL General Consisting of departments: Clerk of the District Court, Sheriff, Treasurer, Assessor, Prosecutor, Juvenile, Motor Vehicle, Operations, Coroner, Information Technology, Development Services, Administration, Public Defender and General
Special Revenue Charities and Welfare Public Health Weed Control Pest Extermination Parks and Recreation Ad Valorem Court Monitoring District Court Drug/Mental Health Court County Court Facilities Waterways Emergency Communication Emergency Management Veterans Memorial Mosquito Abatement Consolidated Elections
Capital Projects Major projects: Courthouse/Corridor
PROPRIETARY Enterprise Emergency Medical Services Solid Waste Management Western Idaho Fair Billing Services
Internal Service Self Funded Health Insurance Liability Insurance
FIDUCIARY Agency State of Idaho Special Taxing Districts Unapportioned Account Court Suspense Restitution Accounts Sheriff's Account Other Agencies
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FINANCIAL SECTION
Independent Auditor’s Report
To the Board of Commissioners Ada County, Idaho Boise, Idaho
Report on the Financial Statements We have audited the accompanying financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of Ada County, Idaho (the County), as of and for the year ended September 30, 2014, and the related notes to the financial statements, which collectively comprise the County’s basic financial statements as listed in the table of contents.
Management’s Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibility Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
Opinions In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the County as of September 30, 2014, and the respective changes in financial position and, where, applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Other Matters
Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management’s discussion
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www.eidebailly.com
877 W. Main St., Ste. 800 | Boise, ID 83702-5858 | T 208.344.7150 | F 208.344.7435 | EOE and analysis and budgetary comparison information on pages 13 through 25 and 61 through 67 be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of American, which consisted of inquires of management about the methods or preparing the information and comparing the information for consistency with management’s responses to our inquires, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Other Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the County’s financial statements. The introductory section, the non-major governmental funds combining financial statements, budget and actual comparisons for governmental funds other than the general and major special revenue funds, internal service funds combining financial statements, agency funds combining financial statements, and schedule of expenditures of federal awards, and statistical section are presented for purposes of additional analysis and are not a required part of the financial statements. The accompanying schedule of expenditures of federal awards is presented for purposes of additional analysis as required by U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organization, and is also not a required part of the financial statements.
The non-major governmental funds combining financial statements, budget and actual comparisons for governmental funds other than the general and major special revenue funds, internal service funds combining financial statements, agency funds combining financial statements, and schedule of expenditures of federal awards are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the non- major governmental funds combining financial statements, budget and actual comparisons for governmental funds other than the general and major special revenue funds, internal service funds combining financial statements, agency funds combining financial statements, and schedule of expenditures of federal awards are fairly stated, in all material respects, in relation to the basic financial statements as a whole.
The introductory and statistical sections have not been subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or provide any assurance on them.
Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued a report December 22, 2014 on our consideration of the County’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements, and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit conducted in accordance with Government Auditing Standards in considering Ada County’s internal control over financial reporting and compliance.
Boise, Idaho December 22, 2014
12 Ada County______
Management’s Discussion and Analysis
As management of Ada County, we offer readers of Ada County’s financial statements this narrative overview and analysis of the financial activities of Ada County for the fiscal year ended September 30, 2014. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal, which can be found on pages 1-6 of this report.
Financial Highlights
• The assets of Ada County exceeded its liabilities and deferred inflows at the close of the most recent fiscal year by $276,250,729 (net position). Of this amount, $115,568,038 (unrestricted net position) may be used to meet the government’s ongoing obligations to citizens and creditors. • The government’s total net position decreased by $2,542,154; just slightly more than the prior year. Revenue increased $8.5M; however it was offset with an increase in expenses of the same amount. The largest increases to revenues were property taxes of $3.7M which was due to the County not only taking the new construction roll but also taking the 3% increase in base as allowed by law. Operating grants and state shared revenues (sales tax and revenue sharing) increased $1M each. In addition, although investments lost market value again this year, the loss was not as great as last years; therefore overall interest and investment earnings increased $1.7M. Public safety, general government and EMS had the largest increases in expenses ($6.2M, $2.7M and $1.2M, respectively). These increases were mainly due to a 3% COLA provided to employees and an increase in health care premiums. An increase in equipment costs also occurred. Health and welfare expenses decreased $2.2M because fewer clients needed the assistance of the County’s Indigent Services department. • As of the close of the current fiscal year, Ada County’s governmental funds reported combined ending fund balances of $120,307,898, which is a decrease of $3,056,897 in comparison with the prior year. Of that total $29,335,340 is unassigned in the general fund; however according to Ada County’s financial policies $21.7M is required to cover the first three months of operating expenses before property taxes are received in January. Additional, $12M should be reserved to meet our minimum fund balance policy also known as budget stabilization, however; only $7.6M is in fact available, leaving no fund balance available for spending at the government’s discretion. • Ada County’s capital lease debt decreased by $3,330,000 (8.6%) during the current fiscal year due to scheduled principal payments.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to Ada County’s basic financial statements. Ada County’s basic financial statements are comprised of three components: 1) government-wide financial statements, 2) fund financial statements and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves.
13 Government-wide financial statements. The government-wide financial statements are designed to provide readers with a broad overview of Ada County’s finances, in a manner similar to a private-sector business.
The statement of net position presents information on all of Ada County’s assets, deferred outflows as well as liabilities and deferred inflows. The difference between assets, deferred outflows and liabilities and deferred inflows is reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of Ada County is improving or deteriorating.
The statement of activities presents information showing how the government’s net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected delinquent taxes and earned but unused vacation leave).
Both government-wide financial statements mentioned above represent functions within Ada County. These functions can be organized into governmental activities and business-type activities. The governmental activities are principally supported by taxes and intergovernmental revenues and include general government, public safety, sanitation, health and welfare, and recreational and cultural activities. The business- type activities of Ada County include emergency medical services, solid waste management, county fair and billing services and are intended to recover all or a significant portion of their costs through user fees and charges.
The government-wide financial statements of Ada County, which include all legally and financially accountable units (known as the primary government), can be found on pages 26-27 of this report.
Fund financial statements. A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. Ada County, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of Ada County can be divided into three categories: governmental funds, proprietary funds, and fiduciary funds.
Governmental funds. Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government’s near-term financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government- wide financial statements. By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and
14 changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities.
Ada County maintains eighteen individual governmental funds. The general fund, charities and welfare and capital projects funds, which are considered to be major funds, are presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balances. Data from the other fifteen governmental funds are combined into a single aggregated presentation. Individual fund data for each of these non-major governmental funds is provided in the form of combining statements elsewhere in this report.
Ada County adopts an annual appropriated budget for all funds except internal service funds and fiduciary funds. Budgetary comparison schedules have been provided for the funds to demonstrate compliance with this budget.
The basic governmental fund descriptions and financial statements can be found on pages 28-32 of this report.
Proprietary funds. Ada County maintains two different types of proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. Ada County uses enterprise funds for its emergency medical services, solid waste management, Western Idaho Fair, and billing services functions. Internal service funds are an accounting device used to accumulate and allocate costs internally among Ada County’s various functions. Ada County uses internal service funds for its self-health insurance and liability insurance. Because both of these internal service funds predominantly benefit governmental rather than business-type functions, they have been included within governmental activities in the government-wide financial statements.
The proprietary fund statements provide the same type of information as the government-wide financial statements, only in more detail. They provide separate information for emergency medical services, solid waste management, and the Western Idaho Fair, all of which are presented as major funds. Billing services, which is presented as a non-major fund, is included for year-to-year consistency.
Both internal service funds are combined into a single, aggregated presentation in the proprietary fund financial statements. Individual fund data for the internal service funds is provided in the form of combining statements elsewhere in this report.
The basic proprietary fund descriptions and financial statements can be found on pages 33-37 of this report.
Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government- wide financial statement because the resources of those funds are not available to support Ada County’s own programs. The accounting used for fiduciary funds is much like that used for proprietary funds. The basic fiduciary fund financial statement can be found on page 39 of this report.
15 Notes to the financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements, preceded by an index, can be found on pages 40-60 of this report.
Other information. In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information, which can be found on pages 61-67. The combining and individual fund statements and schedules for non-major governmental funds, internal service funds, and fiduciary funds, are presented immediately following the required supplementary information on pages 68-99 of this report.
Government-wide Financial Analysis
As noted earlier, net position may serve over time as a useful indicator of a government’s financial position. In the case of Ada County, assets and deferred outflows exceeded liabilities and deferred inflows by $276,250,729 at the close of the most recent fiscal year. The largest portion of Ada County’s net position (50.6%) reflects its investment in capital assets (e.g., land, buildings, machinery and equipment); less any related debt used to acquire those assets that is still outstanding. The County uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the County’s investment in capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities.
Ada County’s Net Position
Governmental activities Business-type activities Total 2014 2013 2014 2013 2014 2013
Current and other assets $ 248,736,998 $ 244,645,507 $ 43,058,066 $ 40,475,361 $ 291,795,064 $ 285,120,868 Capital assets 125,346,230 131,519,305 49,929,979 47,274,745 175,276,209 178,794,050 Total assets 374,083,228 376,164,812 92,988,045 87,750,106 467,071,273 463,914,918
Long-term liabilities outstanding 53,776,615 56,104,817 20,758,207 20,814,158 74,534,822 76,918,975 Other liabilities 13,044,666 12,907,149 4,041,578 2,618,603 17,086,244 15,525,752 Total liabilities 66,821,281 69,011,966 24,799,785 23,432,761 91,621,066 92,444,727
Deferred Inflows-Property Tax 94,375,432 88,092,031 4,824,046 4,585,277 99,199,478 92,677,308
Net position Net investment in capital assets 89,996,230 92,839,305 49,929,979 47,274,745 139,926,209 140,114,050 Restricted 20,756,482 17,750,742 - - 20,756,482 17,750,742 Unrestricted 102,133,803 108,470,768 13,434,235 12,457,323 115,568,038 120,928,091 Total net position $ 212,886,515 $ 219,060,815 $ 63,364,214 $ 59,732,068 $ 276,250,729 $ 278,792,883
16 Additionally, 7.5% of Ada County’s net position is resources subject to external restrictions on how they may be used. The remaining balance of unrestricted net position ($115,568,038) may be used to meet the government’s ongoing obligations to citizens and creditors.
At the end of the current fiscal year, Ada County is able to report positive balances in all three categories of net position, for both the government as a whole and its governmental and business-type activities. The same situation held true for the prior fiscal year.
The County’s business-type activities reported an overall increase of $976,912 in unrestricted net position, as well as increases in each fund with the exception of the emergency medical services fund, which decreased $14,092. The solid waste management fund increased $162,416 even though there was a large increase in revenue which well covered expense; there was also the addition of $2.7M in capital assets which reduced the amount available for unrestricted. The Western Idaho Fair increased by $302,111 due to an increase in gate receipts and concessions, while expenses remained flat. Revenue increased slightly more than expense, yielding an increase of $283,027 in unrestricted net position for billing services over the previous year. There was also an increase in internal balances related to business-type activities of $243,450 for the year.
During the current year, the government’s overall net position decreased by $2,542,154. The County’s business-type activities experienced an increase of $3,632,146 due mainly to the changes mentioned above, while governmental activities decreased by $6,174,300. Changes to both, are displayed on the following chart:
17 Ada County’s Changes in Net Position
Governmental activities Business-type activities Total 2014 2013 2014 2013 2014 2013 Revenues: Program revenues: Charges for services $ 32,536,821 $ 33,192,253 $ 29,049,169 $ 28,087,622 $ 61,585,990 $ 61,279,875 Operating grants and contributions 5,179,449 4,166,600 80,158 10,110 5,259,607 4,176,710 Capital grants and contributions 112,856 352,986 - 133,573 112,856 486,559 General revenues: Property taxes 88,389,228 84,799,902 4,602,005 4,444,168 92,991,233 89,244,070 Other taxes 16,507,820 15,546,807 225,723 177,636 16,733,543 15,724,443 Grants and contributions not restricted to specific programs 6,229,150 5,386,445 - - 6,229,150 5,386,445 Interest & investment earnings (loss) 1,453,216 67,983 259,026 (24,289) 1,712,242 43,694 Miscellanous 2,389,464 2,324,333 168,472 - 2,557,936 2,324,333 Total revenues 152,798,004 145,837,309 34,384,553 32,828,820 187,182,557 178,666,129
Expenses: General government 67,640,517 64,960,121 - - 67,640,517 64,960,121 Public safety 76,746,769 70,515,247 - - 76,746,769 70,515,247 Sanitation 2,231,017 2,270,585 - - 2,231,017 2,270,585 Health and welfare 9,356,800 11,565,125 - - 9,356,800 11,565,125 Recreational and cultural 1,309,584 962,831 - - 1,309,584 962,831 Interest on long-term debt 1,687,617 1,885,319 - - 1,687,617 1,885,319 Emergency Medical Svcs. - - 12,703,334 11,499,514 12,703,334 11,499,514 Solid Waste Mgmt. - - 9,230,298 8,841,434 9,230,298 8,841,434 Western Idaho Fair - - 4,194,142 4,144,628 4,194,142 4,144,628 Billing Svcs. - - 4,624,633 4,510,682 4,624,633 4,510,682 Total expenses 158,972,304 152,159,228 30,752,407 28,996,258 189,724,711 181,155,486 Increase (decrease) in net position (6,174,300) (6,321,919) 3,632,146 3,832,562 (2,542,154) (2,489,357) Net position - beginning 219,060,815 225,382,734 59,732,068 55,899,506 278,792,883 281,282,240 Net position - ending $ 212,886,515 $ 219,060,815 $ 63,364,214 $ 59,732,068 $ 276,250,729 $ 278,792,883
Governmental activities. Total net position for government activities decreased $6,174,300; which is $147,619 less than the prior year’s loss. Key elements are:
• Property taxes increased $3,589,326. Ada County, for the first time in seven years and as allowed by law, chose to increase taxes by taking the 3% of the highest budget during the last three years which equated to $2.5M. For the second time in as many years, the new construction roll in the amount of $1.6M was also taken. In 2014 the legislature removed a portion of taxing districts property tax that had been derived from personal property value and replaced it with state funding; for Ada County that equated to $710K. This was recorded as grants and contributions not restricted to specific programs, rather than property tax since it is a ‘replacement tax’. • Interest and investments earnings increased by $1,385,233 due to the change in the market value of the County’s investments as of September 30th. The loss in market value incurred this year was only $322K compared to the loss of $1.6M the prior year. • Operating grants and contributions were $1M higher due to an increase in homeland security equipment and emergency planning grants. Ada County also received increased funding from the Idaho Supreme Court for specialty courts. • General revenues from other taxes were higher by $961,013; sales tax and revenue sharing from the State of Idaho were more than expected.
18 • Public safety is the only category showing a substantial increase in expense, $6,231,522; general government is a distant second with an increase of $2,680,396. These differences are due to the increase in personnel costs associated with 22 new positions (14 of which are for 3 new judges Ada County received in 2014), a 3% COLA provided to employees and increase in health care premiums. There were also increases in major computer and software upgrades along with tenant improvements. A reduction in clients caused indigent medical costs down and created a reduction in health and welfare of $2.2M.
Expenses and Program Revenues – Governmental Activities
Revenues by Source – Governmental Activities
19 Business-type activities. Business-type activities increased the County’s net position by $3,632,146, accounting for 143 percent of the total growth. Three of the County’s Enterprise Funds incurred positive growth, while one had a modest loss.
• Revenue increased in the solid waste management fund by $893,768 due to an increase in volume. As the economy improves, economic development occurs and waste volumes increase. This increase was more than double the increase in expense creating an overall increase of $2,881,516. • Western Idaho Fair gate receipts and concessions during the 10 day fair along with food and beverage sales during interim events throughout the year outpaced expense, generating a modest increase of $349,170. • Emergency medical services expenses increased due to 3% COLA, heath care premium increases and equipment purchases, while revenue was down due to an increase in bad debt associated with accounts receivable, which caused a slight decrease of $125,017.
Expenses and Program Revenues – Business-type Activities
Revenue by Source – Business-type Activities
20 Financial Analysis of the Government’s Funds
As noted earlier, Ada County uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements.
Governmental funds. The focus of Ada County’s governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the County’s financing requirements. In particular, unassigned fund balance may serve as a useful measure of a government’s net resources available for spending at the end of the fiscal year.
As of the end of the current fiscal year, Ada County’s governmental funds reported combined ending fund balances of $120,307,898, a decrease of $3,056,897 in comparison with the prior year. Ada County has restrictions and assignments for its fund balance. These include: $3,589,336 restricted by granting agencies to pay for specific programs and $17,233,161 restricted by enabling legislation. Assignments total $70,150,061; of which $421,190 in the general fund is assigned for future improvements to a new imaging solution for recorded documents; also $11,300,976 in the general fund, $36,573,664 in the capital projects fund and $4,808,888 in all other government funds was assigned for subsequent years expenditures during the fiscal year 2015 budget process. The remaining $17,045,343 is assigned to the capital projects fund for the future projects and, by definition the special revenue funds, including their minimum fund balance or budget stabilization and cash basis requirements. Total unassigned is $29,335,340; of which $21,772,401 is required to cover the first three months of operating expenses before property taxes are received in January (cash basis) with the remaining $7,562,939 reserved for the minimum fund balance; $4,437,061 less than the full requirement for the general fund.
The general fund is the chief operating fund of Ada County. At the end of the current fiscal year, the total fund balance of the general fund was $44,646,842 of which $3,589,336 was restricted as mentioned above, $11,722,166 was assigned and $29,335,340 was unassigned. As a measure of the general fund’s liquidity, it may be useful to compare both unrestricted fund balance (committed and assigned) and total fund balance to total fund expenditures. In the current fiscal year, unrestricted fund balance represents 35 percent of total general fund expenditures while total fund balance represents 38 percent.
During the current year, the fund balance of the County’s general fund decreased by $637,954 after a $4M transfer back from the capital projects fund and for reasons similar to those described on pages 18-19 under Governmental activities.
• Property taxes increased $5,553,282 due to the County increasing taxes by the 3% increase allowed by law and the new construction roll. In addition, the County moved $2.1M in taxes from the charities and welfare levy to the current expense levy or general fund. • Intergovernmental revenue increased $1,004,924 due to the new personal property tax replacement of $710,933 discussed on page 18 and sales tax. • Personnel costs increased $6,565,259 due a 3% COLA and increased health care premiums authorized by the Board during the FY15 budget process. Also17 new positions were added to general fund departments, 9 of which are directly related to the 3 new judges the County received in 2014.
21 The charities and welfare fund has an ending fund balance of $8,508,299, an increase of $2,142,748 over last year. All resources of this fund are to be used for providing services to indigent persons according to Idaho statute. In 2012 this fund carried a negative unassigned balance as there wasn’t enough available fund balance to cover the required commitment of three months operating cash on hand or minimum fund balance. In 2013, property taxes from the General fund were moved to offset the increase and build fund balance. Now, as the economy has improved, requests for services from this fund and therefore expenses have decreased $2,230,585; and for the second year in a row this fund has had positive growth. With this in mind and the need now in the general fund, taxes were moved back to the general fund during 2014.
The capital projects fund’s ending fund balance is $42,359,789, of which $36,573,664 is assigned based on this amount being budgeted for spending in the following fiscal year when the County will pay off the lease early; the remainder is assigned for future capital projects. The capital projects fund experienced a decrease in fund balance of $7,845,949 after transfers due to the planned use of fund balance to support the semi- annual lease payments and with the payoff of the lease in August 2015, excess fund balance in the amount of $4M was returned to the general fund.
Proprietary funds. Ada County’s proprietary fund statements provide the same type of information found in the government-wide financial statements, but in more detail. The difference between the two perspectives is the effect of internal service fund activities related to proprietary funds. Unrestricted net position of emergency medical services at the end of the year amounted to $9,632,878; those for the solid waste management fund amounted to $(407,559); those for the Western Idaho Fair amounted to $2,576,694; and those for billing services amounted to $945,035. The change in net position for the four funds consisted of a decrease of $125,017, an increase of $2,881,516, an increase of $349,170, and an increase of $283,027, respectively. Factors concerning the finances of these four funds have already been addressed in the discussion of Ada County’s business-type activities on pages 16 (chart), 17, 18 (chart) and 20.
General Fund Budgetary Highlights
The final budget in the general fund was amended to reflect an increase of $5,079,116 and can be briefly summarized as follows:
• $ 3,150,906 in increases allocated to the juvenile department • $ 932,812 in increases allocated to the sheriff’s department • $ 776,259 in increases allocated to the prosecutor’s department • $ 157,109 in increases allocated to the development service’s department • $ 50,000 in increases allocated to the coroner’s department • $ 12,030 in increases allocated to the clerk of the court
Of the changes summarized above, increases of $4,296,087 were from various Federal and State funding sources. The remaining $783,029 represents revenues received during the year that were unanticipated or that exceeded original budgetary estimates.
The difference between the final general fund amended revenue budget and actual revenue collected was a positive variance of $4.2 million (presented on page 61). The largest was in miscellaneous revenue where the $4 million transfer back from the capital projects fund to the general fund was recorded.
22
The difference between the final amended general fund expenditures budget and actual expenditures was a positive variance of $10.5 million (pages 61-64). “Personnel services” accounted for $3.2 million (30%), a decrease over the prior year of $1.4million which can be attributed to budgeting personnel at 98%. An uncertain economy and a conservative approach to budgeting resulted in a positive variance in “other services and charges” of $5.6 million (54%).
Contract services for the prosecutor, special department supplies, building repairs and maintenance for operations and contingency in the general fund were all areas that brought the general fund under budget. The general fund budget related to grants had $4.4 million unspent at year-end that will be brought forward into the next year. Seventy- three percent ($3.2M) of which was Cigarette/Tobacco Tax, Lottery and Juvenile Block grants where the revenue is received in advance.
Capital Asset and Debt Administration
Capital assets. Ada County’s investment in capital assets for its governmental and business type activities as of September 30, 2014, amounts to $175,276,209 (net of accumulated depreciation). This investment in capital assets includes land, buildings, improvements, machinery and equipment, vehicles, intangible software, construction in progress and infrastructure (sewer lines, waste water monitoring system, storm water improvements and roadways). Overall there was a 2% decrease in the County’s investment in capital assets; with a 5 percent reduction in governmental activities and a 6 percent increase in business-type activities.
Major events during the current fiscal year included the following (some costs were incurred in the prior year and were in Construction in Progress (CIP) accounts until capitalized in fiscal year 2014):
• Purchase and installation of a hydrogen sulfide scrubber at the landfill began this fiscal year and will improve air quality while meeting DEQ emissions requirements for landfill gas burn off; costs incurred to date, $2.7M. • Tenant improvements where completed within the Courthouse; relocating and modifying offices on three of the five floors in anticipation of new courtrooms in the near future. Total cost incurred $522K. • Construction of the Expo Idaho Admin Building and Grand Entrance also began this fiscal year shortly after the 10 day fair ended; costs incurred to date $343K. Completion is set for June 2015 before the start of the next fair. • The County is investing in a “paperless” initiative by purchasing a new software product entitled ‘Electronic Content Manager’ that will allow multiple departments to store their documents electronically. The first phase began this fiscal year at a cost of $258K. • An in-house financial system software re-write has been completed for a total cost of $418K over a three year period. This new financial system software will offer real time financial data with enhanced drill down research ability and reporting.
23 Ada County’s Capital Assets (net of depreciation)
Governmental activities Business-type activities Total 2014 2013 2014 2013 2014 2013
Land $ 7,657,147 $ 7,657,147 $ 5,052,409 $ 4,951,841 $ 12,709,556 $ 12,608,988 Land improvements 1,199,835 1,710,239 30,098,945 30,608,324 31,298,780 32,318,563 Building 102,420,111 106,419,963 6,771,670 7,698,317 109,191,781 114,118,280 Infrastructure 796,271 1,011,558 1,619,952 1,252,034 2,416,223 2,263,592 Leased assets - - 604,147 - 604,147 - Vehicles 1,523,816 1,490,841 823,521 765,625 2,347,337 2,256,466 M&E 10,690,037 12,939,927 1,823,313 1,989,374 12,513,350 14,929,301 Intangibles/softw are 415,881 12,371 - - 415,881 12,371 Construction in progress 643,132 277,259 3,136,022 9,230 3,779,154 286,489
Total $ 125,346,230 $ 131,519,305 $ 49,929,979 $ 47,274,745 $ 175,276,209 $ 178,794,050
Additional information on Ada County’s capital assets can be found in note I-D-4, pages 45-46 and II-C, pages 51-52, as well as in the Letter of Transmittal, page 5 of this report.
Long-term debt. At the end of the current fiscal year, Ada County had no bonded debt outstanding. Ada County’s only remaining debt of $35,350,000 as of September 30, 2014, is related to the acquisition of the county courthouse and administration building, related parking facilities, integrated retail space and other public improvements. Lease payments are considered to be obligations of the general government, paid with general governmental revenue sources.
Ada County’s Outstanding Debt
Governmental activities Business-type activities Total 2014 2013 2014 2013 2014 2013
Capital Leases $ 35,350,000 $ 38,680,000 $ - $ - $ 35,350,000 $ 38,680,000
Total $ 35,350,000 $ 38,680,000 $ - $ - $ 35,350,000 $ 38,680,000
During the current fiscal year, the County’s total debt decreased by $3,330,000 or 8%. This is due to scheduled principal payments.
Ada County maintains an ‘Aa2’ rating from Moody’s and an ‘AA’ rating from Standard & Poor’s for general obligation debt. The lease revenue bonds of Boise City Urban Renewal Agency (which are secured by the county’s annual lease appropriation) have underlying ratings of ‘Aa3’ and ‘AA-’ by Moody’s and Standard & Poor’s, respectively, without regard to the Municipal Bond Insurance Policy that was purchased for this issue. Current State statutes allow for general obligation bonds to be issued without a legal limitation based on tax charges against all property and an acceptance of two-thirds of the qualified electors of Ada County. The County’s last bonded debt issue, for a county jail addition, began in 1992 and ended in 2002. Additional information on the County’s long-term debt can be found in note I-D-5 on pages 46-47, and notes II-G-H on pages 54-55 of this report.
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Economic Factors and Next Year’s Budgets and Rates
These factors were considered in preparing the County’s budget for the 2015 fiscal year:
• The unemployment rate for Ada County is currently 3.4 percent, down 2.3 percent from a year ago. The current rate is lower than the state’s unemployment rate of 4.5 percent and lower than the national rate of 5.9 percent. • Sale of new homes has decreased 12 percent over last year and the average number of days residential homes are on the market increased to 54 days, 8 days longer than the prior year. • Foreclosures decreased 80.3% from their high of 3,206 in 2010 to 632 in 2014. • The population in the County increased 1.8 percent from 2012 to 2013 (the most recent information available) – from 409,061 to 416,464. • The County plans on paying off the courthouse lease at the first available call of Capital City Development Corporation’s (CCDC) bonds as permissible in the Courts Complex Lease Agreement between the County and CCDC. This call will occur on August 15, 2015 at which time the County intends to pay off the lease in full; which will save the County $6.2 million in future interest payments.
Restricted, Assigned and Unassigned fund balance in the general fund ($44.6M) consists of: $3.6 million (8%) has been restricted by granting agencies for Juvenile Court Services. There is $11.3 million (25.3%) assigned that has been appropriated for spending in the 2015 budget and $421K (1%) for a new imaging solution for recorded documents. The remaining $29.3M (65.7%) is unassigned; however based on Ada County’s financial policies $21.7M is required to cover the first three months of operating expenses before property taxes are received in January. Additionally, the remaining $7.6M covers the reservation to meet our minimum fund balance policy, also known as budget stabilization. The minimum fund balance policy in the general fund is based on risk and reviewed during the budget process; $12M was determined to be sufficient for 2015.
Pursuant to Resolutions adopted during the fiscal year:
• A resolution authorizing the sale and grant of the County Administration Building at 650 Main for $1.00 occurred after the City of Boise’s final $500,000 payment was received and satisfied the lease agreement from 2002.
Requests for Information
This financial report is designed to provide a general overview of Ada County’s finances for all those with an interest in the government’s finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Ada County Auditor, 200 West Front Street, Boise, Idaho, 83702.
25
BASIC FINANCIAL STATEMENTS
Ada County Statement of Net Position September 30, 2014
Primary Government Governmental Business-type Activities Activities Total
ASSETS Cash and cash equivalents $ 14,129,853 $ 3,252,496 $ 17, 382,349 Investments 131,867,905 30,712,170 162, 580,075 Receivables, net 102,981,458 8,549,028 111, 530,486 Internal balances (494,706) 494,706 - Accrued interest receivable 252,488 49,666 302,154 Capital assets, net of depreciation: Land, not depreciated 7,657,147 5,052,409 12,709,556 Land improvements 1,199,835 30,098,945 31,298,780 Building 102,420,111 6,771,670 109, 191,781 Infrastructure 796,271 1,619,952 2,416,223 Vehicles 1,523,816 823,521 2,347,337 Machinery & equipment 10,690,037 1,823,313 12,513,350 Intangible software 415,881 - 415,881 Leased assets - 604,147 604,147 Construction in progress 643,132 3,136,022 3,779,154 Capital assets, net 125,346,230 49,929,979 175, 276,209 Total assets 374,083,228 92,988,045 467, 071,273
LIABILITIES Accounts payable 12,075,070 3,544,082 15,619,152 Accrued interest 288,777 - 288,777 Unavailable/advanced revenue 680,819 497,496 1,178,315 Long-term liabilities: Due within one year 8,251,395 32,352 8,283,747 Due in more than one year 45,525,220 20,725,855 66,251,075 Total liabilities 66,821,281 24,799,785 91,621,066
DEFERRED INFLOWS Property tax 94,375,432 4,824,046 99,199,478
NET POSITION Net investment in capital assets 89,996,230 49,929,979 139, 926,209 Restricted for: Grant Programs 3,589,336 - 3,589,336 Consolidated Elections 783,643 - 783,643 Court Functions 3,240,356 - 3,240,356 Public Safety 10,594,105 - 10,594,105 Weed/Pest/Mosquito Abatement 2,454,511 - 2,454,511 Welfare and Public Health 94,531 - 94, 531 Unrestricted 102,133,803 13,434,235 115, 568,038 Total net position $ 212,886,515 $ 63,364,214 $ 276,250,729
The notes to the financial statements are an integral part of this statement.
26 Ada County Statement of Activities For the Year Ended September 30, 2014
Program Revenues Net (Expense) Revenue and Changes in Net Position Operating Primary Government Charges for Grants and Capital Grants & Governmental Business-Type Functions/Programs Expenses Services Contributions Contributions Activities Activities Total Primary government: Governmental activities: General government $ 67,640,517 $ 10,865,803 $ 469,725 $ - $ (56,304,989) $ - $ (56,304,989) Sanitation 2,231,017 251,487 11,095 - (1,968,435) - (1,968,435) Public safety 76,746,769 21,155,720 4,671,189 112,856 (50,807,004) - (50,807,004) Health and welfare 9,356,800 - - - (9,356,800) - (9,356,800) Recreational and cultural 1,309,584 263,811 27,440 - (1,018,333) - (1,018,333) Interest on long-term debt 1,687,617 - - - (1,687,617) - (1,687,617) Total governmental activities 158,972,304 32,536,821 5,179,449 112,856 (121,143,178) - (121,143,178)
Business-type activities: Emergency Medical Services 12,703,334 7,817,428 80,158 - - (4,805,748) (4,805,748) Solid Waste Management 9,230,298 11,794,940 - - - 2,564,642 2,564,642 Western Idaho Fair 4,194,142 4,534,944 - - - 340,802 340,802 Billing Services 4,624,633 4,901,857 - - - 277,224 277,224 Total business-type activities 30,752,407 29,049,169 80,158 - - (1,623,080) (1,623,080) 27 Total primary government $ 189,724,711 $ 61,585,990 $ 5,259,607 $ 112,856 (121,143,178) (1,623,080) (122,766,258)
General revenues: Taxes: Property taxes, levied for general purposes 88,389,228 4,602,005 92,991,233 Sales taxes 16,507,820 225,723 16,733,543 Grants and contributions not restricted to specific programs 6,229,150 - 6,229,150 Interest and investment earnings 1,453,216 259,026 1,712,242 Miscellaneous 2,389,464 168,472 2,557,936 Total general revenues, special item and transfers 114,968,878 5,255,226 120,224,104 Change in net position (6,174,300) 3,632,146 (2,542,154) Net position - beginning 219,060,815 59,732,068 278,792,883 Net position - ending $ 212,886,515 $ 63,364,214 $ 276,250,729
The notes to the financial statements are an integral part of this statement.
MAJOR GOVERNMENTAL FUNDS
The General Fund is the County’s primary operating fund. It accounts for all financial resources of the general government, except for those required to be accounted for in another fund.
The Charities and Welfare Fund accounts for the operations associated with administering public assistance, medical care, and other relief to eligible indigent persons. Funding is provided by property tax dollars and reimbursement payments. This fund was established by authority of Idaho Code Section 31-863.
The Capital Projects Fund is used to account for the acquisition and construction of major capital facilities other than those financed by Proprietary Funds.
28 ADA COUNTY Balance Sheet Governmental Funds September 30, 2014
Other Total General Charities Capital Governmental Governmental Fund and Welfare Projects Funds Funds ASSETS Cash $ 4,517,836 $ 1,060,831 $ 3,990,479 $ 2,508,569 $ 12,077,715 Investments 42,774,506 10,166,320 38,294,936 23,852,506 115,088,268 Accounts receivable 463,701 - - 76,536 540,237 Property tax receivable 72,142,014 9,477,662 - 14,932,865 96,552,541 Accrued interest receivable 133,316 - 74,374 17, 695 225,385 Due from other funds 317,067 - - 26,336 343,403 Due from other agencies and units of government 5,795,942 - - 92,738 5,888,680 Total assets $ 126,144,382 $ 20,704,813 $ 42,359,789 $ 41,507,245 $ 230,716,229
LIABILITIES, DEFERRED INFLOWS AND FUND BALANCES LIABILITIES Accounts payable $ 8,695,728 $ 986,510 $ - $ 1,684,145 $ 11,366,383 Due to other funds 13,484 - - 62,762 76,246 Unavailable/advanced revenues 646,314 - - 34,505 680,819 Accrued liabilities - 1,732,342 - - 1,732,342 Total liabilities 9,355,526 2,718,852 - 1,781,412 13,855,790
DEFERRED INFLOWS Property tax 72,142,014 9,477,662 - 14,932,865 96,552,541
FUND BALANCES Restricted for: Grants Juvenile court services 3,589,336 - - - 3,589,336 Enabling legislation Public health services - - - 94,531 94,531 Weed/Pest/Mosquito - - - 2,451,711 2,451,711 Alternative courts and monitoring - - - 3,265,139 3,265,139 Emergency communications - - - 10,637,418 10,637,418 Consolidated elections - - - 784,362 784,362 Assigned for: General government Recording services 421,190 - - - 421,190 Administration 8,103,843 - - - 8,103,843 Operations and maintenance 655,195 - - - 655,195 Computer services 782,338 - - - 782,338 Appraisal/Land record - - - 2,016,953 2,016,953 Public safety Sheriff 1,322,909 - - - 1,322,909 Juvenile court services 228,842 - - - 228,842 Coroner 10,363 - - - 10,363 Emergency management - - - 345,019 345,019 Judicial services Prosecution 115,607 - - - 115,607 Public defender 81,879 - - - 81,879 District court - - - 3,788,198 3,788,198 Health and welfare Indigent services - 8,508,299 - - 8,508,299 Recreation and culture Parks and Waterways - - - 1,409,637 1,409,637 Capital projects Courthouse Lease - - 42,359,789 - 42,359,789 Unassigned 29,335,340 - - - 29,335,340 Total fund balances 44,646,842 8,508,299 42,359,789 24,792,968 120,307,898 Total liabilities, deferred inflows and fund balances $ 126,144,382 $ 20,704,813 $ 42,359,789 $ 41,507,245
The notes to the financial statements are an integral part of this statement.
29 Ada County Reconciliation of the Governmental Funds Balance Sheet To the Statement of Net Position September 30, 2014
Total Fund Balances - Governmental Funds $ 120,307,898
Amounts reported for governmental activities in the Statement of Net Position are different because:
Capital assets used in governmental activities are not financial resources and therefore are not reported as assets in governmental funds. These assets consist of the following:
Land $ 7,657,147 Land Improvements 2,925,462 Building 165,379,510 Infrastructure 2,122,261 Vehicles 5,998,999 Intangible Software 622,338 Machinery and Equipment 34,951,239 Construction in Progress 643,132 Accumulated Depreciation (94,953,858) Total Capital Assets 125,346,230
Some of the County's revenue will be collected after year-end but is not available soon enough to pay for the current period's expenditures and therefore is considered unavailable in the funds. Delinquent property tax is considered unavailable. 2,177,109
Long-term liabilities applicable to the County's governmental activities are not due and payable in the current period and accordingly are not reported as fund liabilities. Interest on long-term debt is not accrued in governmental funds, but rather is recognized as an expenditure when due. All liabilities - both current and long-term - are reported in the Statement of Net Position. These liabilities consist of the following:
Capital Leases Payable $ (35,350,000) Accrued Interest on the Capital Leases (288,777) Compensated Absences (4,957,457) (40,596,234)
Internal service funds are used by management to charge the costs of health and liability insurance to individual funds and are reported separately from governmental funds in the fund statements. The assets and liabilities of the internal service funds are included in governmental activities in the Statement of Net Position. 5,651,512
Total Net Position - Governmental Activities $ 212,886,515
The notes to the financial statements are an integral part of this statement.
30 Ada County Statement of Revenues, Expenditures, and Changes in Fund Balances Governmental Funds For the Year Ended September 30, 2014
Other Total General Charities Capital Governmental Governmental Fund and Welfare Projects Funds Funds REVENUES Taxes $ 64,799,599 $ 9,039,661 $ - $ 14,857,450 $ 88,696,710 Licenses and permits 1,250,880 - - 157,779 1,408,659 Fines and forfeitures 116,574 - - 1,253,493 1,370,067 Charges for services 22,370,942 717,058 201,300 7,185,853 30,475,153 Intergovernmental 23,623,892 3,610 - 4,401,773 28,029,275 Interest income 659,459 107,131 497,430 256,757 1,520,777 Net increase (decrease) in the fair value of investments (79,658) (33,551) 309 (76,548) (189,448) Micellaneous 2,231,770 2,149 - 740,033 2,973,952 Total revenues 114,973,458 9,836,058 699,039 28,776,590 154,285,145
EXPENDITURES Current: General government 47,249,263 - - 15,709,895 62,959,158 Public safety 69,081,482 - - 4,771,668 73,853,150 Sanitation - - - 1,965,653 1,965,653 Health and welfare - 7,619,730 - 1,810,039 9,429,769 Recreational and cultural - - - 748,768 748,768 Capital outlay 2,666,054 - - 388,869 3,054,923 Debt service: Principal retirement - - 3,330,000 - 3,330,000 Interest and other debt charges - - 1,716,213 - 1,716,213 Total expenditures 118,996,799 7,619,730 5,046,213 25,394,892 157,057,634 Excess (deficiency) of revenues over expenditures (4,023,341) 2,216,328 (4,347,174) 3,381,698 (2,772,489)
OTHER FINANCING SOURCES (USES) Transfers in 4,185,387 - 500,000 - 4,685,387 Transfers (out) (800,000) (73,580) (3,998,775) (97,440) (4,969,795) Total other financing sources and uses 3,385,387 (73,580) (3,498,775) (97,440) (284,408)
Net change in fund balances (637,954) 2,142,748 (7,845,949) 3,284,258 (3,056,897) Fund balance, beginning of year 45,284,796 6,365,551 50,205,738 21,508,710 123,364,795
Fund balance, end of year $ 44,646,842 $ 8,508,299 $ 42,359,789 $ 24,792,968 $ 120,307,898
The notes to the financial statements are an integral part of this statement.
31 Ada County Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities For the Year Ended September 30, 2014
Total Net Change in Fund Balances - Governmental Funds $ (3,056,897)
Amounts reported for governmental activities in the Statement of Activities are different because:
Governmental funds report capital outlays as expenditures. However, in the Statement of Activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. Depreciation expense was more than Capital Outlay expense in the current year by the following amount: Capital Outlay $ 3,054,923 Depreciation Expense (9,164,509) Excess of Depreciation Expense over Capital Outlay (6,109,586)
Miscellaneous transactions involving capital assets such as sales and other disposals (gain/loss), as well as donations, are reported in the Statement of Activities but only proceeds from sales are reported in the governmental funds. Sales, disposals and donations (63,489)
Some revenues in the governmental funds are unavailable because they are not collected within the prescribed time period after year-end. On the accrual basis, however, those revenues would be recognized, regardless of when they are collected. Because of the "availability" criterion under the modified accrual basis of accounting the following has been recorded as unavailable: Delinquent Property Tax (307,482)
A lease receivable payment is reported as revenue in the governmental funds when received. The amount representing the principal payment on the lease is reported in the Statement of Net Position as a reduction of the lease receivable. $ (480,367) Interest receivable on the lease is not reported in the governmental funds (19,633) (500,000)
Repayment of long-term debt is reported as an expenditure in governmental funds, but the repayment reduces long-term liabilities in the Statement of Net Position. In the current year, these amounts consist of: Capital Lease Payments 3,330,000
Under the modified accrual basis of accounting used in the governmental funds, expenditures are not recognized for transactions that are not normally paid with expendable available financial resources. In the Statement of Activities, however, which is presented on the accrual basis, expenses and liabilities are reported regardless of when financial resources are available. Also, interest on long-term debt is not recognized under the modified accrual basis of accounting until due, rather than as it accrues. Accrued interest calculated for capital leases payable $ 28,596 Compensated absences (180,079) Total Additional Expenditures (151,483)
Internal service funds are used by management to charge the costs of health and liability insurance to individual funds and are reported separately from governmental funds in the fund statements. In the government-wide statements, internal service funds are included with governmental activities. 684,637
Change in Net Position - Governmental Activities $ (6,174,300)
The notes to the financial statements are an integral part of this statement.
32
Proprietary Funds account for the County operations that provide goods or services to the general public and finance their operations mainly through user charges. The following provides a brief description of the proprietary funds.
MAJOR PROPRIETARY FUNDS
Emergency Medical Services - to account for the emergency medical services system of Ada County, including the operation and coordination of a 24 hour per day emergency response paramedic ambulance service. Revenue is provided by user fees and tax revenue.
Solid Waste Management - to account for the solid waste disposal facilities used by various participating cities and unincorporated areas of the County. Revenue is provided by user fees.
Western Idaho Fair - to account for the operations and maintenance of the Western Idaho Fairgrounds. Operations are under the direction of a Board of Directors appointed and supervised by the Ada County Commissioners. Fair operations are self-supporting.
NON-MAJOR PROPRIETARY FUND
Billing Services - to account for billing services as may be provided. Currently, the County prepares billings to the public and receives funds from the public for refuse collection by the County’s contractor. The funds are used to pay the contractor, other costs, and the County for expenses related to the billing services.
33 Ada County Statement of Net Position Proprietary Funds September 30, 2014
Business-Type Activities - Enterprise Funds Governmental Major Funds Other Funds Activities- Emergency Solid Western Internal Medical Waste Idaho Billing Service Services Management Fair Services Total Funds ASSETS Current Assets: Cash and cash equivalents $ 881,220 $ 1,952,612 $ 313,149 $ 105,515 $ 3,252,496 $ 2,052,138 Investments 8,341,790 18,478,429 2,892,789 999,162 30,712,170 16,779,637 Receivables, net 1,872,619 366,531 48,355 376,348 2,663,853 - Due from other funds - 86,374 - 48 86,422 - Due from other agencies 52,501 894,696 - 1,637 948,834 - Property tax receivable 4,936,341 - - - 4,936,341 - Accrued interest receivable 13,416 31,094 3,624 1,532 49,666 27,103 Total current assets 16,097,887 21,809,736 3,257,917 1,484,242 42,649,782 18,858,878 Noncurrent assets: Capital assets: Land 1,034,137 3,525,048 493,224 - 5,052,409 - Land improvements - 31,686,307 2,924,396 - 34,610,703 - Buildings 7,054,277 1,277,017 5,391,771 - 13,723,065 - Infrastructure - 4,415,385 826,332 - 5,241,717 - Vehicles 3,651,764 170,389 58,647 - 3,880,800 - Machinery & equipment 1,206,511 1,583,964 463,774 - 3,254,249 - Leased assets - - 1,840,251 - 1,840,251 - Construction in progress 127,500 2,665,353 343,169 - 3,136,022 - Less accumulated depreciation (4,662,002) (6,810,891) (9,336,344) - (20,809,237) - Capital assets, net 8,412,187 38,512,572 3,005,220 - 49,929,979 - Total assets 24,510,074 60,322,308 6,263,137 1,484,242 92,579,761 18,858,878
LIABILITIES Current liabilities: Accounts payable 1,055,297 1,973,406 423,794 91,585 3,544,082 708,687 Accrued liabilities 26,958 1,911 3,483 - 32,352 - Due to other funds 90,215 33,840 62,726 92,122 278,903 74,676 Claims and judgments - - - - - 2,700,475 Unavailable/advanced revenues - - 141,996 355,500 497,496 - Total current liabilities 1,172,470 2,009,157 631,999 539,207 4,352,833 3,483,838 Noncurrent liabilities: Accrued liabilities 468,493 31,235 49,224 - 548,952 - Landfill postclosure costs - 20,176,903 - - 20,176,903 - Claims and judgments - - - - - 9,036,341 Total noncurrent liabilities 468,493 20,208,138 49,224 - 20,725,855 9,036,341 Total liabilities 1,640,963 22,217,295 681,223 539,207 25,078,688 12,520,179
DEFERRED INFLOWS Property tax 4,824,046 - - - 4,824,046 -
NET POSITION Investment in capital assets 8,412,187 38,512,572 3,005,220 - 49,929,979 - Unrestricted 9,632,878 (407,559) 2,576,694 945,035 12,747,048 6,338,699 Total net position $ 18,045,065 $ 38,105,013 $ 5,581,914 $ 945,035 62,677,027 $ 6,338,699
Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds 687,187 Net position of business-type activities $ 63,364,214
The notes to the financial statements are an integral part of this statement.
34 Ada County Statement of Revenues, Expenses, and Changes in Fund Net Position Proprietary Funds For the Year Ended September 30, 2014
Business-Type Activities - Enterprise Funds Major Funds Other Funds Governmental Emergency Solid Western Activities- Medical Waste Idaho Billing Internal Service Services Management Fair Services Total Funds OPERATING REVENUE Charges for services $ 7,757,211 $ 11,523,453 $ - $ 4,901,857 $ 24,182,521 $ 22,463,334 Concessions - - 1,772,301 - 1,772,301 - Admissions - - 1,181,724 - 1,181,724 - Rentals - - 1,222,215 - 1,222,215 - Other 60,217 271,487 358,704 - 690,408 - Total operating revenues 7,817,428 11,794,940 4,534,944 4,901,857 29,049,169 22,463,334
OPERATING EXPENSES Personal services 9,481,037 807,710 812,339 - 11,101,086 - Other services & charges 2,750,737 6,775,454 3,090,264 4,624,633 17,241,088 - Administration - - - - - 3,247,517 Landfill postclosure expense - 1,076,198 - - 1,076,198 - Claims - - - - - 18,713,658 35 Depreciation 713,863 567,512 296,110 - 1,577,485 - Total operating expenses 12,945,637 9,226,874 4,198,713 4,624,633 30,995,857 21,961,175 Operating income (loss) (5,128,209) 2,568,066 336,231 277, 224 (1,946,688) 502,159
NONOPERATING REVENUES (EXPENSES) Intergovernmental 104,908 - - - 104,908 - Gain (loss) on disposition of assets - 143,722 - - 143,722 - Interest and investment revenue 92,913 214,169 24,088 9,975 341, 145 192,053 Net increase (decrease) in the fair value of investments (22,357) (44,441) (11,149) (4,172) (82,119) (50,533) Property & other taxes 4,827,728 - - - 4,827,728 - Total nonoperating revenue (expenses) 5,003,192 313,450 12,939 5,803 5,335,384 141,520 Net income (loss) before contributions and transfers (125,017) 2,881,516 349,170 283, 027 3,388,696 643,679 Transfers in - - - - - 300,000 Transfers out - - - - - (15,592) Change in net position (125,017) 2,881,516 349,170 283, 027 3,388,696 928,087 Total net position - beginning 18,170,082 35,223,497 5,232,744 662,008 5,410,612 Total net position - ending $ 18,045,065 $ 38,105,013 $ 5,581,914 $ 945,035 $ 6,338,699
Adjustment to reflect the consolidation of internal service fund activities related to enterprise funds. 243,450 Change in net position of business-type activities $ 3,632,146
The notes to the financial statements are an integral part of this statement. Ada County Statement of Cash Flows Proprietary Funds For the Year Ended September 30, 2014
Business-Type Activities - Enterprise Funds Governmental Major Funds Other Funds Activities- Emergency Solid Western Internal Medical Waste Idaho Billing Service Services Management Fair Services Total Funds CASH FLOWS FROM OPERATING ACTIVITIES Cash received from customers $ 8,095,458 $ 11,725,751 $ 4,535,102 $ 4,891,524 $ 29,247,835 $ 22,463,334 Cash paid to suppliers for goods and contracted services (2,477,307) (7,176,299) (2,777,029) (4,649,146) (17,079,781) (20,655,603) Cash paid to employees for services (9,370,762) (802,440) (808,566) - (10,981,768) - Other operating revenue 60,217 271,487 - - 331,704 -
Net cash provided by (used for) operating activities (3,692,394) 4,018,499 949,507 242,378 1,517,990 1,807,731
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Property taxes and other taxes 4,839,347 - - - 4,839,347 - Subsidy from federal grants 80,158 - - - 80,158 - Municipal revenue 24,750 - - - 24,750 - Sale of property - 164,631 - - 164,631 - Transfer in - - - - - 300,000 Transfer out - - - - - (15,592) Net cash provided by (used for) noncapital financing activities 4,944,255 164,631 - - 5,108,886 284,408
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Purchase of capital assets (602,938) (3,307,524) (343,169) - (4,253,631) -
Net cash provided by (used for) capital and related financing activities (602,938) (3,307,524) (343,169) - (4,253,631) -
CASH FLOWS FROM INVESTING ACTIVITIES Net (increase) decrease in investments (869,097) (1,431,667) (630,944) (249,030) (3,180,738) (2,287,880) Interest income 101,176 227,797 26,547 11,535 367,055 199,303
Net cash provided by (used for) investing activities (767,921) (1,203,870) (604,397) (237,495) (2,813,683) (2,088,577)
Net increase (decrease) in cash (118,998) (328,264) 1,941 4,883 (440,438) 3,562 Cash, beginning of year 1,000,218 2,280,876 311,208 100,632 3,692,934 2,048,576
Cash, end of year $ 881,220 $ 1,952,612 $ 313,149 $ 105,515 $ 3,252,496 $ 2,052,138
(Continued)
36 Reconciliation of operating income (loss) to net cash provided by (used for) operating activities
Business-Type Activities - Enterprise Funds Governmental Major Funds Other Funds Activities- Emergency Solid Western Internal Medical Waste Idaho Billing Service Services Management Fair Services Total Funds
Operating income (loss) $ (5,128,209) $ 2,568,066 $ 336,231 $ 277,224 $ (1,946,688) $ 502,159
Adjustments to reconcile operating income (loss) to net cash provided by (used for) operating activities: Depreciation expense 713,863 567,512 296,110 - 1,577,485 - Landfill postclosure expense - (84,595) - - (84,595) - Change in assets and liabilities: (Increase) decrease in accounts receivable, net 334,467 217,911 (9,425) (24,763) 518,190 - (Increase) decrease in due from other agencies and units of government 3,780 (2,224) - (1,541) 15 - (Increase) decrease in due from other funds - (13,389) - (43) (13,432) - Increase (decrease) in accounts payable 341,000 764,968 329,601 (38,192) 1,397,377 12,996 Increase (decrease) in accrued liabilities 32,611 (202) (3,764) - 28,645 - Increase (decrease) in due to other funds 10,094 452 (8,829) 13,680 15,397 17,733 Increase (decrease) in claims and judgments - - - - - 1,274,843 Increase (decrease) in unavailable/advanced revenue - - 9,583 16,013 25,596 -
Total adjustments 1,435,815 1,450,433 613,276 (34,846) 3,464,678 1,305,572
Net cash provided by (used for) operating activities $ (3,692,394) $ 4,018,499 $ 949,507 $ 242,378 $ 1,517,990 $ 1,807,731
Noncash investing activities for business-type enterprise funds were: The net decrease in the fair value of investments for Emergency Medical Services was $22,357 for the year. The net decrease in the fair value of investments for Solid Waste Management was $44,441 for the year. The net decrease in the fair value of investments for the Western Idaho Fair was $11,149 for the year. The net decrease in the fair value of investments for Billing Services was $4,172 for the year.
Noncash investing activities for governmental internal service funds were: The net decrease in the fair value of investments for Self-Funded Health Insurance was $30,261 for the year. The net decrease in the fair value of investments for Liability Insurance was $20,272 for the year.
The notes to the financial statements are an integral part of this statement.
37
FIDUCIARY FUNDS
Fiduciary Funds are used to report assets held in a trustee or agency capacity for others and which therefore cannot be used to support the County’s own programs. In Ada County, there are no trust funds – but there are several agency funds. The County’s agency funds are further described and presented beginning on page 95.
38 ADA COUNTY Fiduciary Funds Statement of Fiduciary Net Position September 30, 2014
Agency Funds Assets Cash $ 9,928,012 Accounts receivable 722,417 Total assets $ 10,650,429
Liabilities Accounts payable $ 51,899 Fines and appearance bonds to be remitted 1,872,409 Fiduciary fund liabilities: Judgments held in trust 958,466 Tax receipts held in trust 1,887,868 Due to prisoners 124,621 Due to victims 33,623 Due to other agencies and units of government 5,721,543 Total liabilities $ 10,650,429
The notes to the financial statements are an integral part of this statement.
39
NOTES TO FINANCIAL STATEMENTS
ADA COUNTY______Notes to the Financial Statements For the Year Ended September 30, 2014 ______
INDEX
I. Summary of Significant Accounting Policies A. Reporting Entity……………………………………………………………………………… 41 B. Government-Wide and Fund Financial Statements……………………………………… 41 Government-Wide Statements…………………………………………………………. 41 Statement of Net Position………………………………………………….... 41 Statement of Activities……………………………………………… ………... 42 Fund Statements………………………………………………………………. ………... 42 C. Measurement Focus, Basis of Accounting, and Financial Statement Presentation….. 43 D. Assets, Liabilities, Deferred Outflows, Deferred Inflows and Net Position or Equity………………………………………………………………………………………… 44 1. Deposits and Investments…………………………………………………………… 44 2. Receivables and Payables………………………………………………………….. 45 3. Inventories…………………………………………………………………………….. 45 4. Capital Assets………………………………………………………………………… 45 5. Long-Term Liabilities…………………………………………………………………. 46 6. Deferred Outflows and Deferred Inflows….………………………………….……..47 7. Fund Equity…………………………………………………………………………….47 II. Detailed Notes on all Funds A. Deposits and Investments…………………………………………………………………... 48 B. Receivables…………………………………………………………………………………… 50 C. Capital Assets………………………………………………………………………………… 51 D. Payables………………………………………………………………………………………. 53 E. Internal Balances and Inter-fund Transfers.………………………………………………. 53 F. Operating Lease…………………………………………………………………………….. 54 G. Capital Lease Payable……………………………………………………………………... 54 H. Long-Term Debt……………………………………………………………………………… 55 I. Solid Waste Landfill Closure and Post-Closure Costs………………………………….. 56 J. Retirement Plan………………………………………………………………………………. 56 K. Insurance……………………………………………………………………………………… 57 L. Fund Equity…………………………………………………………………………………… 58 M. Contingencies and Commitments………………………………………………………….. 58 N. Other Post-Employment Benefits………………………………………………………...…60
40 ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The accompanying financial statements of Ada County, Idaho (the “County”) have been prepared in conformity with generally accepted accounting principles (GAAP) as prescribed by the Governmental Accounting Standards Board (GASB). GASB is the standard-setting body for governmental accounting and financial reporting principles.
Ada County has implemented all GASB statements that are in effect for the County’s 2013-2014 fiscal year.
A. Reporting Entity
Ada County was established December 22, 1864. It operates under a commissioner form of government and provides services including general government, public safety, judicial, sanitation, health and welfare, and recreational and cultural. The County follows GASB in determining the reporting entity. For financial reporting purposes, the County’s reporting entity consists solely of the primary government. Accordingly, the financial statements include all funds, departments, and agencies of the primary government whose budgets are controlled or whose boards are appointed by the County’s Board of Commissioners, or if exclusion of an organization would cause the County’s financial statements to be misleading or incomplete. Control or dependence on the County was determined on the basis of appointment authority, budget adoption, taxing authority, outstanding debt secured by revenues or general obligations of the County, significance to the County, and legal standing. Ada County contributes to the multi- employer Public Employee Retirement System of Idaho (PERSI). PERSI is administered by the State of Idaho. A ten-year history is provided in PERSI’s annual report.
B. Government-Wide and Fund Financial Statements
Government-Wide Statements
The Statement of Net Position and Statement of Activities report information on all non-fiduciary activities of the primary government, distinguished between governmental and business-type activities. Governmental activities generally are financed through taxes and intergovernmental revenues. Business-type activities are financed in whole or in part by fees and charges to external parties for goods or services. Internal service funds are included with governmental activities in the government-wide statements and are included with the proprietary funds in the fund statements. Inter-fund activity has been eliminated from the statements, except for the residual amounts due between governmental and business-type activities. Reimbursements, which are repayments from funds responsible for particular expenditures or expenses to the funds that initially paid for them, are eliminated in the financial statements to reduce the grossing- up effect of internal transactions.
Statement of Net Position The Statement of Net Position presents the reporting entity’s non-fiduciary assets, deferred outflows, liabilities and deferred inflows, with the difference reported as net position. Net position is displayed in the following three categories:
Net Investment in Capital Assets consists of capital assets, net of accumulated depreciation and reduced by outstanding related debt.
Restricted Net Position result when the purpose for or manner in which net position can be used is limited by an external party, a constitutional provision, or enabling legislation. Enabling legislation both authorizes the raising of new resources and imposes legally enforceable limits on how they may be used. Decisions regarding the preferred first usage of unrestricted or restricted net position are made on a program-by-program basis when both types of resources are available.
41
ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
Unrestricted Net Position consists of net position that does not meet the definition of the two preceding categories. Unrestricted net position may have constraints or designations placed upon them by management, but they can be unilaterally removed.
Statement of Activities The Statement of Activities demonstrates the degree to which the direct expenses of governmental functions and business-type activities are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific governmental function or business- type activity. Revenues are broken out by program and general designations. Program revenues display the extent to which programs are self-funded. Program revenues include charges to customers who purchase, use, or directly benefit from goods or services provided by a given function or activity. Program revenues also include grants and contributions that are restricted to meeting the operational or capital requirements of a particular program. Taxes and other revenue sources that are not attributable to specific programs are reported instead as general revenues.
Fund Statements
The financial activities of the County are recorded in individual funds to report the financial position and results of the operations of the County. Fund accounting is used to demonstrate legal compliance and to aid financial management by segregating transactions related to certain government functions or activities. A fund is a separate accounting entity with a self-balancing set of accounts.
Separate fund financial statements are presented for the governmental, proprietary, and fiduciary funds, even though fiduciary funds are excluded from the government-wide statements. The emphasis in the fund statements is on major funds. Major governmental and business-type funds are reported as separate columns in the fund statements. The remaining governmental and business-type funds are considered to be non-major funds and are consolidated in an “other” funds column (on the combined fund statements). If there is more than one, the non-major funds are displayed individually in combining schedules.
The County reports the following major governmental funds:
The General Fund is the County’s primary operating fund. It accounts for services that include general government and public safety. The General Fund includes all financial resources of the County except those required to be accounted for in another fund.
The Charities and Welfare Fund accounts for the operations of providing services to indigent persons as required by authority of Idaho Code Section 31-863. Reimbursement payments are received from clients, however the majority of funding comes in the form of property taxes.
The Capital Projects Fund is used to account for financial resources to be used for the acquisition or construction of major capital facilities (other than those financed by proprietary funds).
The County reports the following major proprietary funds:
The Emergency Medical Services Fund accounts for resources used to operate a 24- hour per day emergency response paramedic ambulance service. Funding is from taxes and user charges.
The Solid Waste Management Fund accounts for resources used to operate the solid waste disposal facilities used by residents, businesses, various participating cities and unincorporated areas of the County. Funding is from user fees.
42
ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
The Western Idaho Fair Fund accounts for resources used for the operations and maintenance of the Western Idaho Fairgrounds, funded solely from user fees.
There is one additional (enterprise) fund reported as an “other fund” in the Proprietary Funds statements:
The Billing Services Fund accounts for resources received for billing services as may be provided – currently for billing refuse collection by the County’s contractor.
Additionally, the County reports the following fund types:
Governmental Fund Type
Special Revenue Funds account for financial resources obtained from specific revenue sources that are legally restricted to expenditures for specified purposes.
Proprietary Fund Type
Internal Service Funds account for operations that render services to the County on a cost-reimbursement basis: health insurance for employees, and property, liability, worker’s comp and other types of insurance.
Fiduciary Fund Type
The Agency Funds account for resources that are held by the County, acting in a custodial capacity, for distribution to other governmental units or designated beneficiaries. The majority of resources accounted for in this fund will be distributed to the State of Idaho and the various taxing districts in Ada County.
Reconciling Government-Wide Statements to the Fund Statements
The governmental fund statements include reconciliation between the fund statements and the government-wide statements. Differences that make reconciliation necessary include the two differing measurement focuses and bases of accounting between the statements and the inclusion of internal service funds with governmental activities on the governmental-wide statements.
C. Measurement Focus, Basis of Accounting, and Financial Statement Presentation
The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Fiduciary (agency) fund financial statements also use the accrual basis of accounting for asset and liability recognition, even though they have no measurement focus. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the County generally considers revenues to be available if they are collected within 30 days of the end of the current fiscal period. Significant revenue sources susceptible to accrual include sales and liquor taxes, interest associated with the current fiscal period, and grants. All other revenue items are considered to be measurable and available only when cash is received by the government. Expenditures generally are recorded when a liability is incurred, as under
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014 accrual accounting. However, expenditures related to capital lease payments, compensated absences and most claims and judgments are recorded only when payment is due.
As a general rule the effect of interfold activity has been eliminated from the government-wide financial statements. Indirect charges have been eliminated, as well as reimbursements, which are repayments from funds responsible for particular expenditures or expenses to the funds that initially paid for them. They are eliminated in the financial statements to reduce the grossing-up effect of internal transactions. Exceptions to this general rule of elimination are inter-fund services provided and used, such as charges between the County’s self-insurance programs and business-type activities, and charges between the Solid Waste function and other functions of the government. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned.
Amounts reported as program revenues include charges to customers for goods and services, operating grants and contributions, and any capital grants and contributions. All taxes as well as internally dedicated resources are reported as general revenues.
Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund’s principal ongoing operations. The principal operating revenues of the proprietary and internal service funds are charges to customers for sales and services. Operating expenses for enterprise funds and internal service funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses.
D. Assets, Liabilities, Deferred Outflows, Deferred Inflows and Net Position or Equity
1. Deposits and Investments
The cash balances of substantially all funds are pooled and invested by the County Treasurer for the purpose of increasing earnings through investment activities. The pool’s investments are stated at fair value at September 30, 2014, as determined by quoted market prices, except for the non-negotiable certificates of deposit - which are non-participating contracts, and are therefore carried at amortized cost. The individual funds’ portions of the pool’s fair value are presented as “Investments”. Interest earned on the pooled funds is apportioned and paid or credited to the funds monthly based on the average daily balance of each participating fund. Interest earnings and increases or decreases in the fair value of investments in certain Special Revenue funds are transferred to the General Fund based on management policy. Idaho Code Section 67, Chapter 12, provides authorization for the investment of funds as well as to what constitutes an allowable investment. County policy is consistent with the State Code.
The Code limits investments to the following general types:
1. Certain revenue bonds, general obligation bonds, local improvement district bonds and registered warrants of state and local governmental entities.
2. Time deposit accounts, tax anticipation and interest-bearing notes.
3. Bonds, treasury bills, debentures, or other similar obligations of the United States Government and United States Government Agencies.
4. Repurchase agreements secured by the above.
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
Cash and investments are pooled and invested in certificates of deposit, United States Treasury Securities, United States Government Agency Securities and repurchase agreements secured by United States Government Securities or United States Government Agencies. The County’s policy has been to hold investments until maturity, in an attempt to reduce market fluctuation risk.
For purposes of the statement of cash flows, the County considers all highly liquid investments purchased with maturity of three months or less to be cash. Cash and investment balances for the Enterprise and Internal Service funds represent their allocated share of pooled cash and investments of the County and can be drawn down on demand. The investment purchases and sales information is not available for individual funds and management believes that due to the nature of the pooled investments, this information is not significant for purposes of understanding the statement of cash flows. Accordingly, the net change method is used to report cash flows from investments in these statements.
2. Receivables and Payables
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are current and referred to as “due to/from other funds” as are all other outstanding balances between funds. Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as “internal balances.”
In the proprietary funds, receivables are shown net of an allowance for uncollectibles. In the Emergency Medical Services Fund, the allowance is based on historical data from the Fund.
Property tax revenues are recognized when received in the period for which the taxes are levied. Property taxes are accrued as assets receivable and deferred inflows on the Balance Sheet when the County has an enforceable legal claim to the taxes, which occurs on January 1 of the period prior to actual receipt of the tax payments. The County's assessment date is January 1, and property taxes, levied by the second Monday of September on a market value basis, are billed to the taxpayers in November. Half of the real, personal, and mobile home property taxes are due on December 20 and the remainder is due the following June 20. Other property taxes are due December 20. Real property taxes not paid constitute a lien on the property when entered on the real property assessment roll as delinquent on the first day of January of the succeeding year.
3. Inventories
County-wide purchases of materials and supplies are consumed shortly after purchase and are recognized as an expenditure in special revenue funds and as an expense in proprietary funds when purchased (purchases method). There are no significant accumulations of inventories for GAAP reporting purposes.
4. Capital Assets
Capital assets, which include property, plant, equipment, and infrastructure assets (sewer lines, access roads to the landfill, wastewater monitoring systems), are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Ada County has a combined highway district that has separate taxing authority; consequently, infrastructure reporting related to streets and highways is recorded within Ada County Highway District Financial Statements. Ada County infrastructure acquired prior to fiscal years ended after June 30, 1980, are immaterial and not reported. The County defines capital assets as assets with an initial, individual cost of more than $20,000 and an estimated useful life in excess of two years. All material capital assets are valued at historical cost. Donated capital assets are valued at their estimated fair value on the date donated. The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized.
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
When an asset is disposed of, cost and related accumulated depreciation is removed, and any gain or loss arising from its disposal is credited or charged to operations.
Although not capitalized, all purchases of property, plant and equipment with an initial, individual cost of more than $1,000 and an estimated useful life in excess of two years are tracked for management control and inventory purposes. In addition, certain specific types of equipment purchases are monitored for control, as are any items management requests be monitored, regardless of cost.
Major outlays for capital assets and improvements are capitalized as projects are constructed. Qualifying interest incurred during the construction phase of capital assets of business-type activities would be included as part of the capitalized value of the assets constructed.
For all depreciable major asset classes, depreciation is recorded by use of the straight-line method with no salvage value. The book value of each asset is reduced by equal amounts over its estimated useful life as follows:
Estimated Useful Life Asset Class _____(Years)______Buildings 8-50 Improvements 8-20 Infrastructure 10-50 Equipment 2-15 Vehicles 3-10 Intangible software 2-10
5. Long-Term Liabilities
In the government-wide financial statements, and proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type statement of net position.
Indigent Claims - In the fund financial statements for fiscal year 2014, the County recorded an accrued liability of $1,732,342 in the major fund “Charities and Welfare” for estimated qualifying indigent services provided prior to the fiscal year-end but which will not be paid by the County until a future budget period. The County pays for medical assistance (and certain non-medical assistance) to indigent persons, who qualify, up to an $11,000 limit, per Idaho Code, Section 31. Some services have been provided prior to the fiscal year-end, but provider billings have not been presented to the County for payment until sometime after September 30. The Charities and Welfare Special Revenue Fund sets aside money in their current budget to fund liabilities incurred during the fiscal year that will not be liquidated until a future budget period, thereby accumulating resources in the fund that will eventually be used to liquidate the liability.
Compensated Absences – The County provides personal leave to its full time employees. It is paid to employees when taken and will be paid to employees or their beneficiaries upon the employee's termination, retirement, or death. The amount of unpaid personal leave accumulated by County employees and the associated salary-related payment is accrued as an expense in the Proprietary Funds and in the Government-wide Statements. In the Governmental Fund statements, only the amounts that are liquidated with expendable available financial resources due to termination, retirement or death during the year are accounted for as current-year expenditures. The County assumes a first-in, first-out flow.
Deferred Compensation – All assets and income of the County’s 457 plan are held in a trust, custodial account or annuity contract as described in IRC Section 457(g) for the exclusive benefit
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014 of the plan participants and their beneficiaries. The County is in compliance with this IRC regulation. The County has no liability for losses under the plan, and currently makes matching contributions to this plan, not to exceed three percent of participant’s bi-weekly wage. Employees may make voluntary contributions to the plan within the limits allowed by IRC Section 457 after the first of the month following 30 days of continuous employment.
Bonded Indebtedness – Bond ordinances require a levy and collection of a tax without limitation, on all property subject to taxation by the County, sufficient in amount to pay the principal and interest on such bonds when they become due. The County currently has no bonded indebtedness.
6. Deferred Outflows and Deferred Inflows
Deferred outflow of resources is defined as a consumption of net position that is applicable to a future reporting period; the effect is positive, similar to an asset but is not an asset. The County has nothing that meets the definition of deferred outflow of resources. Deferred inflow of resources is an acquisition of net position that is applicable to a future reporting period; it has a negative effect, similar to a liability but is not a liability. The County’s property tax receivable is considered a deferred inflow of resources therefore reducing net position.
7. Fund Equity
In the governmental fund financial statements; fund balances are classified as restricted or unrestricted (committed, assigned or unassigned).
Restricted – The portion of fund balance where limitations have been imposed by creditors, grantors, contributors or law and regulations of other governments or limitations have been imposed by law through constitutional provisions or enabling legislation.
Committed – The portion of fund balance where a self-imposed limitation is set in place prior to the end of the period. The limitation is imposed at the highest level of decision-making and requires formal action at the same level to remove. This would be done annually via resolution approved by the Board of County Commissioners.
Assigned – The portion of fund balance where a limitation results from intended uses either by: 1) highest level of decision-making or 2) body designated for that purpose or 3) official designated for that purpose. Ada County’s financial policies adopted by the Board of County Commissioners allows that during the budget process the Board determine and adopt by resolution, the amount of fund balance to be re-budgeted as a funding source for the subsequent year’s budget. The financial polices also allow for inquiries by financial staff, in conjunction with fiscal year end, of the Board, the other Elected Officials and Department Heads in order to determine if there are any intended uses of fund balance in future years that can be assigned, most likely for future capital improvements and replacement programs.
Unassigned – The remaining portion of fund balance in excess of the other classifications (surplus) or excess of other classifications over total fund balance (deficit).
When an expenditure is incurred for purposes for which both restricted and unrestricted fund balance is available, the County considers restricted funds to have been spent first. When an expenditure is incurred for which committed, assigned, or unassigned fund balances are available, the County considers amounts to have been spent first out of committed funds, then assigned funds, and finally unassigned funds.
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
II. DETAILED NOTES ON ALL FUNDS
A. Deposits and Investments
Idaho Code, Sections 67-1301 and 67-2328 authorizes the State Treasurer to combine the money of public agencies jointly in external investment pools, the Local Government Investment Pool (LGIP) and the Diversified Bond Fund (DBF). In order to earn a higher yield, Idaho governmental entities may voluntarily deposit moneys not needed to meet immediate operating obligations in these pools. The LGIP is a short-term investment pool. Participants have overnight availability to their funds, up to $10 million. Withdrawals of more than $10 million require 3 business day’s notification. The DBF was created for those state and public entities able to exchange current liquidity for potentially greater returns over the long run (3.5 years or longer). Withdrawals of $10 million or less generally require 5 business days’ notification prior to the last day of the month; those in excess of $10 million require 25 business day’s notification.
The State Treasurer must operate and invest the funds of both pools for the benefit of the participants. They make investments in accordance with Idaho Code, Sections 67-1210 and 67- 1210A. The Pools are not registered with the Securities and Exchange Commission or any other regulatory body. The State Treasurer does not provide any legally binding guarantees to support the value of the shares to participants.
Credit Risk. Ada County’s investment policy requires individual investments to have a credit rating of A or better by Standard and Poor’s Corporation or an equivalent nationally recognized statistical rating organization. All investments meet this requirement.
Concentration Credit Risk. Ada County’s investment policy, where possible, allows for no more than 50% in a specific issuer and 50% in a specific class of securities. The County has less than 50% in each issuer; however it has 61% in a specific class. In addition, GASB 40 requires disclosure of concentrations over 5% in a single issuer. As of September 30, 2014 the following issuers hold more than 5% of Ada County’s total portfolio. Federal Home Loan Bank – 18%, Federal National Mortgage Association – 11%, Federal Home Loan Mortgage Corp – 8%, Federal Farm Credit Bank – 10%, Boise City Urban Renewal Agency – 6%, State of Idaho Local Government Investment Pool – 25% and State of Idaho Diversified Bond Fund – 13%.
Custodial Credit Risk - investments. This is the risk that, in the event of the failure of the counterparty, the County will not be able to recover the value of its investments or collateral securities that are in the possession of the outside party. The County’s investment policy requires working with primary or regional dealers for the purchase of its authorized securities. Investments are made with banks designated by the State Treasurer as a state depository. Through an agreement with Mountain West Bank, the Sheriff’s accounts invest idle cash in uninsured repurchase agreements. The repurchase agreements are fully collateralized with an undivided, fractional interest in obligations of, or obligations that are fully guaranteed by the United States government, its agencies or instrumentalities. Title to the securities are vested in the County or in the name of the bank but held by a third party custodian in the name of the County. The bank repurchases the undivided, fractional interest from the County on the next banking day. At September 30, 2014, the market value of the repurchase agreements was $3,080,923. The investment in repurchase agreements is uninsured and collateralized with securities.
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
Custodial Credit Risk – deposits. This is the risk that in the event of a bank failure, the County’s deposits may not be returned to it. The County’s investment policy requires any deposits exceeding insurance limits to be fully collateralized by government and/or agency securities held by the pledging financial institutions. As of September 30, 2014, the County’s deposits, over and above, the FDIC insurance limits; were covered under the Dodd-Frank Wall Street Reform and Consumer Protection Act. The County also had $6,500,000 that were collateralized with securities held by the entity or by its agent in the entity’s name and $12,410,111 collateralized under an irrevocable letter of credit with the Federal Home Loan Bank. The remaining $261,003 is uninsured and uncollateralized.
Interest Rate Risk. As a means of limiting its exposure to fair value losses arising from changes in interest rates, the Treasurer may invest funds of the County that are not identified as operating funds, in investments with maturities longer than 365 days, but not to exceed five years; unless there is unanimous consent of the Board of County Commissioners. The County’s investments are in compliance with this policy. The County assumes that its callable investments will not be called. Through its investment policy, the County manages its exposure to fair value losses arising from increasing interest rates by holding all investments to maturity as permitted by cash flows and liquidity needs.
The table below presents the County’s exposure to credit and interest rate risk in accordance with the Modified Duration method.
Modified Investment Type Market Value Credit Rating Duration
Ada & Canyon School District #2 Gen Ob $ 1,980,197 S&P A+ 3.370 Bonneville & Bingham School District #93 444,282 Fitch Aaa .942 Boise City Idaho Arpt. Rev, DS 46,878 Fitch A+ .902 Boise City Urban Renewal Agency 8,775,180 S&P AA- 2.333 Boise State Revenue Bonds 249,383 S&P A+ 3.388 Federal Farm Credit Bank 17,058,190 S&P AA+ 1.618 Federal Farm Credit System 4,984,500 S&P AA+ 1.607 Federal Home Loan Bank 29,852,299 S&P AA+ 1.519 Federal Home Loan Mortgage Corp. 12,769,151 S&P AA+ .413 Federal National Mortgage Assoc. 17,979,367 S&P AA+ .826 Idaho Housing 370,323 Fitch A+ 1.045 Idaho State Building Authority 402,051 S&P AA 1.210 Latah County School District 281B 174,962 Moody’s Aaa 2.726 Minidoka Jerome County School 331 612,568 Fitch Aaa 2.804 Nez Perce County, Idaho 1,579,460 S&P A+ .336 Payette County Idaho School District 373 156,096 Moody’s Aaa .943 University of Idaho 30,465 S&P A+ .498 State of Idaho – DBF 20,531,035 Unrated 3.61 ^ State of Idaho – LGIP 41,502,765 Unrated ^ Mountain West Repurchase Sweep 3,080,923 Unrated ^ Total Market Value $ 162,580,075 Portfolio Duration 1.558
^ Modified duration cannot be calculated on these investments due to incomplete market price data. The State of Idaho – DBF is reported above as ‘effective’ duration, the weighted average maturity of the State of Idaho – LGIP is 144 days and the Mountain West Repurchase Sweep is overnight repurchase agreements.
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
B. Receivables
Ada County reports the General, Charities and Welfare, and Capital Projects funds as major governmental funds - and Emergency Medical Services, Solid Waste Management, and Western Idaho Fair as major enterprise funds. The “allowance for doubtful accounts” is immaterial except for Emergency Medical Services. All receivables are expected to be collected within one year.
Receivables at September 30, 2014, were as follows:
Due from Other Total Accounts Taxes Governments Interest Receivables Governmental activities: General $ 463,701 $ 72,142,014 $ 5,795,942 $ 133,316 $ 78,534,973 Charities & Welfare - 9,477,662 - - 9,477,662 Capital Projects - - - 74,374 74,374 Other Governmental 76,536 14,932,865 92,738 17,695 15,119,834 Total receivables 540,237 96,552,541 5,888,680 225,385 103,206,843 Reconciliation of balances in fund financial statements to government-wide financial statements: Internal Service 27,103 27,103 Total- governmental activities $ 540,237 $ 96,552,541 $ 5,888,680 $ 252,488 $ 103,233,946
Business-type activities: Emergency Medical Services $ 3,900,816 $ 4,936,341 $ 52,501 $ 13,416 $ 8,903,074 Less Allowance for Doubtful accounts: (2,028,197) - - - (2,028,197) Receivables, Net 1,872,619 4,936,341 52,501 13,416 6,874,877 Solid Waste Management 366,531 - 894,696 31,094 1,292,321 Western Idaho Fair 48,355 - - 3,624 51,979 Billing Services 376,348 - 1,637 1,532 379,517 Total - business-type activities $ 2,663,853 $ 4,936,341 $ 948,834 $ 49,666 $ 8,598,694
Governmental funds report deferred inflow of resources in connection with receivables for revenues that are not considered to be available to liquidate liabilities of the current period, i.e. property taxes. Governmental funds also defer revenue recognition in connection with resources that have been received, but not yet earned. At the end of the current fiscal year, the various components of deferred inflow of resources and unavailable/advanced revenue reported in the governmental funds were as follows:
Deferred Inflow of Resources: Taxes Levied for Subsequent Period $ 94,375,432 Current Year Delinquent Taxes 994,026 Prior Years' Delinquent Taxes 1,183,083 Total deferred inflow of resources for governmental funds $ 96,552,541
Unavailable/Advanced Revenue: Unavailable Rental Revenue $ 34,505 Advanced Grant Revenue 646,314 Total unavailable/advanced revenue for governmental funds $ 680,819
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
C. Capital Assets
Capital asset activity for the year ended September 30, 2014 was as follows:
Primary Government 2014 2014 Beginning Ending Balance Increases Decreases Balance Governmental activities: Capital assets, not being depreciated: Land $ 7,657,147 $ - $ - $ 7,657,147 Construction in progress 277,259 1,758,973 1,393,100 643,132 Total capital assets, not being depreciated 7,934,406 1,758,973 1,393,100 8,300,279
Capital assets, being depreciated: Land improvements 3,683,381 - 757,919 2,925,462 Buildings and improvements 164,798,610 580,900 - 165,379,510 Vehicles 5,488,877 762,290 252,168 5,998,999 Machinery and equipment 34,067,554 1,162,721 279,036 34,951,239 Intangible software 204,134 418,204 - 622,338 Infrastructure 2,122,261 - - 2,122,261 Total capital assets being depreciated 210,364,817 2,924,115 1,289,123 211,999,809
Less accumulated depreciation for: Land improvements 1,973,142 267,239 514,754 1,725,627 Buildings and improvements 58,378,647 4,580,752 - 62,959,399 Vehicles 3,998,036 683,175 206,028 4,475,183 Machinery and equipment 21,127,627 3,403,362 269,787 24,261,202 Intangible software 191,763 14,694 - 206,457 Infrastructure 1,110,703 215,287 - 1,325,990 Total accumulated depreciation 86,779,918 9,164,509 990,569 94,953,858
Total capital assets, being depreciated, net 123,584,899 (6,240,394) 298,554 117,045,951
Governmental activities capital assets, net $ 131,519,305 $ (4,481,421) $ 1,691,654 $ 125,346,230
Depreciation expense was charged to functions/programs of the primary government as follows:
Governmental activities: General government $ 3,803,804 Public safety 4,664,663 Sanitation 293,057 Recreation 402,985
Total depreciation expense - governmental activities: $ 9,164,509
Emergency Medical Services $ 713,863 Solid Waste 567,512 Western Idaho Fair 296,110
Total depreciation expense - business-type activities: $ 1,577,485
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
2014 2014 Beginning Adjustments/ Ending Balance Increases Decreases Balance Business-type activities: Capital assets, not being depreciated: Land $ 4,951,841 $ 112,311 $ 11,743 $ 5,052,409 Construction in progress 9,230 3,239,103 112,311 3,136,022 Total capital assets, not being depreciated 4,961,071 3,351,414 124,054 8,188,431
Capital assets, being depreciated: Land improvements 34,737,557 - 126,854 34,610,703 Buildings and improvements 15,263,508 - 1,540,443 13,723,065 Vehicles 3,866,634 372,357 358,191 3,880,800 Machinery and equipment 3,078,823 200,365 24,939 3,254,249 Infrastructure 5,243,068 441,806 443,157 5,241,717 Leased assets - - ( 1,840,251) 1,840,251 Total capital assets being depreciated 62,189,590 1,014,528 653,333 62,550,785
Less accumulated depreciation for: Land improvements 4,129,233 472,311 89,786 4,511,758 Buildings and improvements 7,565,191 359,568 973,364 6,951,395 Vehicles 3,101,009 305,291 349,021 3,057,279 Machinery and equipment 1,089,449 366,426 24,939 1,430,936 Infrastructure 3,991,034 73,889 443,158 3,621,765 Leased assets - - (1,236,104) 1,236,104 Total accumulated depreciation 19,875,916 1,577,485 644,164 20,809,237
Total capital assets, being depreciated, net 42,313,674 ( 562,957) 9,169 41,741,548
Business-type activities capital assets, net $ 47,274,745 $ 2,788,457 $ 133,223 $ 49,929,979
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
D. Payables
Payables at September 30, 2014, were as follows:
Salaries and Accrued Internal Total Vendors Benefits Interest Service Payables Governmental activities: General $ 2,418,255 $ 6,277,473 $ - $ - $ 8,695,728 Charities & Welfare 909,336 77,174 - - 986,510 Other Governmental 610,944 1,073,201 - - 1,684,145 Reconciliation of balances in fund financial statements to government-wide financial statements - - 288,777 708,687 997,464 Total - governmental activities $ 3,938,535 $ 7,427,848 $ 288,777 $ 708,687 $ 12,363,847
Business-type activities: Emergency Medical Svcs. $ 405,783 $ 649,514 $ - $ - $ 1,055,297 Solid Waste Management 1,920,255 53,151 - - 1,973,406 Western Idaho Fair 370,703 53,091 - - 423,794 Billing Services 91,585 - - - 91,585 Total - business-type activities $ 2,788,326 $ 755,756 $ - $ - $ 3,544,082
E. Internal Balances and Inter-fund Transfers
Due to/from other funds as of September 30, 2014 is as follows:
D u e F r o m
General Non-major Proprietary Internal
Fund Funds Funds Service Total
General Fund $ 9,496 $ 48,456 $ 184,439 $ 74,676 $ 317,067
Non-major Governmental 3,988 14,306 8,042 - 26,336 D u eo u T D Proprietary - - 86,422 - 86,422
Total $ 13,484 $ 62,762 $ 278,903 $ 74,676 $ 429,825
These balances result from the time lag between the dates that: (1) inter-fund goods and services are provided or reimbursable expenditures occur, (2) transactions are recorded in the accounting system and (3) payments between funds are made. All balances will be repaid within one year.
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
Inter-fund transfers for the year ended September 30, 2014, consisted of the following:
T r a n s f e r O u t
Charities Non Major Internal Capital
General Fund & Welfare Governmental Service Projects Total
General Fund $ - $ 73,580 $ 97,440 $ 15,592 $ 3,998,775 $ 4,185,387
Capital Projects Fund 500,000 - - - - 500,000
Internal Service 300,000 - - - - 300,000 T r a n f e n s r I Total $ 800,000 $ 73,580 $ 97,440 $ 15,592 $ 3,998,775 $ 4,985,387
Transfers are used to: (1) move revenues from the fund that statute or budget requires to collect them to the fund that statute or budget requires to expend them and (2) use unrestricted revenues collected in one fund to finance various programs accounted for in other funds in accordance with statutory or budgetary authorizations.
F. Operating Lease
January 1, 2014 Ada County leased, to a private group, the County owned racetrack, known as Les Bois Park. The lease extends through December 31, 2018, and can be extended three additional years by mutual agreement of the parties. The facilities leased include the Turf Club, grandstands and pavilion area, racetrack, horse barns, paddock and adjoining jockeys’ room and various related equipment and furnishings.
The leased assets are reported at their historical cost less accumulated depreciation, $604,147. No additional depreciation expense is recorded. The estimated net realizable value of these leased assets exceeds their carrying value at historical cost. The lessee is required to return the leased assets in proper working condition, good appearance and good repair at the termination of the lease. To that end, and to protect the County’s interest, the lessee at the onset of the lease was required to establish a performance bond in the County’s name. The value of the bond at September 30, 2014 was $75,826.
Future minimum lease payments are as follows: $115,000 for 2015, $130,000 for 2016, $145,000 for 2017 and $160,000 for 2018. In addition, beginning January 1, 2015 the County is entitled to contingent rental payments of five one hundreds of one percent (0.05%) of gross daily receipts of the historical horse races, race meets, pari-mutuel, and simulcast; payable following the completion of each calendar year and due not later than April 30. The first contingent payment is due on or before April 30, 2016.
G. Capital Lease Payable
In fiscal 2000, the County entered into a capital lease (Court Complex Lease Agreement) for the construction and acquisition of a new courthouse/administration building complex which also includes parking facilities, integrated retail space and other public improvements (See Note M – Contingencies and Commitments). The lease term was 30 years with a series of one-year leases subject to annual appropriation of funds by the County. During fiscal 2005, the County renegotiated the lease, resulting in a reduction of 7 years on the lease term, and a favorable imputed interest rate based on the lease payments – from 6.46% over the initial 30-year term to 5.92% over the revised 23-year term – resulting in overall interest savings of $22,891,186. During fiscal year 2007, the County paid $3,285,582 toward reducing future interest on the lease, resulting in additional savings over the remaining term of $5,947,580. During fiscal 2014, the County incurred net lease payments totaling $5,046,213 for the Facility, and the County’s
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014 remaining obligation at September 30 is $35,350,000. Upon satisfaction of the County’s outstanding lease obligation, the County may purchase the Facilities for $1.00. The historical cost and accumulated amortization of the Facilities are $69,328,654 and $17,858,437, respectively.
The following chart represents the County’s future lease payments based on the September 30 obligation, amortized according to the Bond document lease payment schedule until the incurred obligation is satisfied.
Year Ending Sept. 30 Court Complex Lease
Principal Interest Total 2015 $ 3,580,000 $ 1,732,663 $ 5,312,663 2016 3,925,000 1,547,150 5,472,150 2017 4,285,000 1,351,550 5,636,550 2018 4,665,000 1,137,300 5,802,300 2019 4,640,000 909,050 5,549,050 2020-2022 14,255,000 1,287,650 15,542,650
Total $ 35,350,000 $ 7,965,363 $ 43,315,363
H. Long-Term Debt
Changes in long-term liabilities: Long-term liability activity for the year ended September 30, 2014, was as follows:
Beginning Ending Due Within Balance Additions Reductions Balance One Year Governmental activities: Capital leases $ 38,680,000 $ - $ 3,330,000 $ 35,350,000 $ 3,580,000 Compensated absences 4,777,378 416,968 236,889 4,957,457 238,578 Claims and judgments 12,647,439 5,531,270 4,709,551 13,469,158 4,432,817 Governmental activity Long-term liabilities $ 56,104,817 $ 5,948,238 $ 8,276,440 $ 53,776,615 $ 8,251,395
Business-type activities: Compensated absences $ 552,660 $ 54,946 $ 26,302 $ 581,304 $ 32,352 Landfill closure 20,261,498 - 84,595 20,176,903 - Business-type activity Long-term liabilities $ 20,814,158 $ 54,946 $ 110,897 $ 20,758,207 $ 32,352
Internal service funds predominantly serve the governmental funds. Accordingly, long-term liabilities for them are included as part of the above totals for governmental activities. At year-end, $11,736,816 of internal service fund claim liabilities for the County’s self-insurance programs are included in the above amounts. For the governmental activities, approximately 92 percent of compensated absences are generally liquidated by the general fund, and the remainder by special revenue funds. In addition to compensated absences, claims in the business-type funds represent the landfill closure/post closure liability, inclusive of any liabilities for groundwater contamination.
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
I. Solid Waste Landfill Closure and Post-Closure Costs
The County owns and operates a landfill site located in the northern portion of the County. State and federal laws will require the County to close the landfill once its capacity is reached and to monitor and maintain the site for 30 subsequent years. The County recognizes a portion of the closure and post-closure care costs in each operating period even though actual payouts will not occur until the landfill is closed. The amount recognized each year is based on the landfill capacity used as of the balance sheet date. As of September 30, 2014, the County has recorded a combined liability of $20,176,903, which represents the estimated closure and post-closure costs based on 97% of landfill capacity used to date in the Hidden Hollow Cell and 3% capacity used to date in the new North Ravine Cell. The remaining estimated liability for these costs is $904,441 and $31,495,581, respectively, which will be recognized as the remaining capacity is used (estimated to be 6 years for Hidden Hollow and 93 years for the North Ravine Cell). The estimated costs are subject to change from year to year as the effects of inflation, revision of laws and other variables occur. The County has demonstrated closure, post-closure care, and/or corrective action financial assurance by satisfying the financial ratio alternative method prescribed by Title 40 Part 258.74 of the Code of Federal Regulations.
J. Retirement Plan
The Public Employee Retirement System of Idaho (PERSI) – The PERSI Base Plan, a cost sharing multiple-employer public retirement system, was created by the Idaho State Legislature. It is a defined benefit plan requiring that both the member and the employer contribute. The Plan provides benefits based on members’ years of service, age and compensation. In addition, benefits are provided for disability, death, and survivors of eligible members or beneficiaries. The authority to establish and amend benefit provisions is established in Idaho Code. Designed as a mandatory system for eligible state and school district employees, the legislation provided for other political subdivisions to participate by contractual agreement with PERSI.
After 5 years of credited service, members become fully vested in retirement benefits earned to date. Members are eligible for retirement benefits upon attainment of the ages specified for their employment classification. For each month of credited service, the annual service retirement allowance is 2.0% or 2.3% (depending upon employee classification) of the average monthly salary for the highest consecutive 42 months.
PERSI issues publicly available stand alone financial reports that include audited financial statements and required supplementary information. These reports may be obtained from PERSI’s website www.persi.idaho.gov.
The actuarially determined contribution requirements of the County and its employees are established and may be amended by the PERSI Board of Trustees. For the year ended September 30, 2014, the required contribution rate as a percentage of covered payroll for members was 6.79% for general members and 8.36% for sheriff employees. The employer rate as a percentage of covered payroll was 11.32% for general members and 11.66% for sheriff employees.
Ada County’s contributions required and paid were $9,879,447, $8,800,530 and $8,023,420 for the three years ended September 30, 2014, 2013, and 2012, respectively.
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
K. Insurance
The County is exposed to various risks of loss related to torts; theft of, damage to, or destruction of assets; and errors or omissions. Idaho Code Title 6, Chapter 9, authorizes political subdivisions of the State of Idaho to “levy an annual property tax in the amount necessary to provide for a comprehensive liability plan whether by the purchase of insurance or otherwise“. In 1986, the County established a Liability Insurance Fund (an Internal Service Fund) to account for and finance its insured and uninsured risks of loss. Ada County’s Department of Administration - Risk Management division, as authorized by Resolution, manages the Fund. Under its self- insurance plan, it is the intent of the County to provide amounts to the Insurance Fund through an annual levy not to exceed $300,000, until the fund balance is sufficient to provide adequate reserves for known and incurred but not reported claims and a reserve for future catastrophic losses, not to exceed $15,000,000. In fiscal 2014, an operating transfer of $300,000 was made into the Fund for future catastrophic losses. At September 30, 2014, the Liability Insurance Fund had net position of $390,015.
In prior years and for the period of October 1, 2003 to January 1, 2004, the County purchased workers’ compensation insurance from the State of Idaho in accordance with State requirements. Effective January 1, 2004, the County became self-insured for workers’ compensation as authorized by the Idaho Industrial Commission. The program is administered by a third party and the County purchases excess workers’ compensation insurance (with an aggregate limit of $1,000,000) to provide coverage for individual claims above the county’s self-insured retention (SIR). The County retains responsibility for the first $600,000 of each claim for all employees.
The County purchases property insurance from Idaho Counties Risk Management Program (ICRMP). The County has property insurance coverage up to $211,182,625 with a $25,000 deductible. All funds of the County participate in the self-insurance program and make premium payments to the Liability Insurance Fund based on historical cost and loss information, adjusted annually.
There have been no significant reductions in insurance coverage from the previous year, and no settlements in excess of insurance coverage in any of the prior three fiscal years.
Beginning in fiscal year 2000, the County established a Self-Funded Health Fund (an Internal Service Fund) for risks associated with the employee’s health insurance plan where assets are set aside for claim settlements. All funds with employees eligible for benefits participate, and make payments to the Health Insurance Fund based on the number of qualifying employees in each fund and on estimates of potential usage. The County funded an initial reserve of $1.2 million through a transfer from the General Fund, based on advice from actuarial consultants and in accordance with State requirements. Provisions are also made for unexpected and unusual claims. Third parties administer the plan, covering medical, dental and vision claims. Stop-loss coverage for medical claims exceeding $150,000 per employee is purchased from the third party administrator, and at September 30, 2014, the Self-Funded Health Insurance Fund had net position of $5,948,684.
A liability for a claim in either insurance fund is established if information indicates that it is probable that a liability has been incurred at the date of the financial statements and the amount of the loss can be reasonably estimated. Liabilities include an amount for claims that have been incurred but not reported. Claim liabilities are calculated based on the estimated ultimate cost of settling the claim, considering the effects of inflation, recent claim settlement trends including frequency and amount of payouts, and other economic and social factors. Claim liabilities include any specific, incremental claim adjustment expense, and any material estimated recoveries are deducted from the liability for unpaid claims.
57
ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
Changes in the balances of claims liabilities during the past two fiscal years are as follows:
Liability Insurance Self Funded Health Fiscal Year Fiscal Year 2014 2013 2014 2013 Unpaid claims as of October 1 $ 9,351,797 $ 9,152,037 $ 1,110,176 $ 1,505,447
Total incurred claims (including IBNRs) and prior period changes in claim estimates 2,857,246 1,855,044 15,856,412 14,254,939
Total payments 1,679,697 1,655,284 15,759,118 14,650,210
Unpaid claims as of September 30 $10,529,346 $ 9,351,797 $ 1,207,470 $ 1,110,176
L. Fund Equity
Ada County’s financial policies outline the following classifications of fund balance that are reported on the governmental funds’ balance sheet (page 29):
Assigned – This portion of fund balance reflects the amount of FY2014 fund balance that has been re-budgeted as a funding source for the County’s FY2015 budget; also known as ‘subsequent years’ expenditures’. Future capital improvements that are in the planning stages and any replacement programs are also included. If the County had any special revenue funds that did not meet the definition of a special revenue fund they would be combined with the General Fund and their total fund balance would be considered “assigned” for their fund. Currently, all special revenue funds meet the definition and stand alone.
Unassigned – This portion of fund balance reflects the amount of FY2014 fund balance that is needed to fund the first three months of FY2015 because the first-half property taxes are not due until December 20; known as ‘cash basis’. Also included in this classification is the amount of ‘minimum fund balance’ the County desires to keep on hand to mitigate current and future risks and ensures service levels. Minimum fund balance in the General Fund is set based on the risk of a reduction to major revenue sources (property tax, state shared revenues and charge for service revenues) as well as fund balance in other county funds, investment variance and general uncertainty. Minimum fund balance is 15% of operating revenues for all other funds. Finally, any residual net resources or total fund balance in excess of the other classifications; also known as ‘surplus’ that is available for any purpose is included here.
The General Fund is the only fund that reflects a positive “unassigned” since any surplus within a special revenue fund is automatically “assigned” to that fund per the definition of a special revenue fund. Any negative “unassigned” amounts would reflect ‘deficits’ where there is an excess of other classifications over total fund balance. Ada County does not have any negative “unassigned” fund balance.
M. Contingencies and Commitments
The County has assumed responsibility for groundwater contamination that has been identified near its sanitary landfill. Based on recommendations and evaluative advice from Consultants, the Solid Waste Management Fund initiated remediation procedures – the cost of which is included in the liability described in Note I-Solid Waste Landfill Closure and Post-Closure Costs.
58
ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
Also, the County is contingently liable with respect to certain lawsuits and other claims that have arisen in the ordinary course of its operations. County officials believe that potential claims resulting from such litigation would not materially affect the financial condition or results of operations. Reserves for contingent liabilities and conservative revenue accruals are routinely evaluated. The County is a recipient of federal funds and is subject to audits by governmental agencies. County officials are of the opinion that findings, if any, resulting from these audits, will not materially affect the financial condition of the County. The estimated liabilities for lawsuits and claims are accounted for in the internal service funds.
Litigation has been instituted by Hidden Hollow Energy, LLC and Hidden Hollow Energy 2, LLC, claiming that Ada County anticipatorily breached express or implied terms of the franchise agreements for the consumption of landfill gas produced by Ada County’s Hidden Hollow municipal waste facilities. Ada County has filed an answer to the Plaintiff’s complaint and has commenced the discovery process. Ada County believes it has meritorious defenses against the $30 million claim and an estimate of possible loss cannot be made.
The Urban Renewal Agency of Boise City, Idaho, also known as the Capital City Development Corporation (CCDC), is an urban renewal agency, and is an independent public body corporate and politic of the State of Idaho. The County has leased to CCDC approximately 10.3 acres of land owned by the County. CCDC had obtained Urban Renewal Lease Revenue Bonds, Series 1999 (advance refunded during 2005 as Urban Renewal Lease Revenue Refunding Bonds, Series 2005) for the Ada County Courts Complex Project in order to finance the acquisition, construction and improvement of a new county courthouse and administration building for use by Ada County, and related parking facilities, integrated retail space and other public improvements. The Bonds are obligations of CCDC, payable from and secured solely by lease payments made by the County under a Courts Complex Lease Agreement between CCDC and the County. In the Agreement, the County is obligated to pay the lease payments only to the extent that funds for the lease payments are budgeted and appropriated each year by the County. According to the 2005 renegotiated lease agreement, the County leases the Courthouse/ Administration Building portion of the project over an overall remaining, as of September 30, 2014, 8-year term from the CCDC, with title reverting to the County at the end of the lease term. A special payment by the County in fiscal year 2007 reduced future interest payments on the lease by over five million dollars and resulted in a revised lease agreement. The remaining term of the lease is unchanged. The lease payments, which began in fiscal year 2000 under the prior lease agreement, are considered obligations of Ada County, and are paid from the Capital Projects Fund with general governmental revenue sources. Some of these revenues are legislatively restricted for Courthouse facilities, and some have been obtained from the sale of County-owned buildings. At the end of fiscal year 2011, the County transferred their ownership right to a future income stream from CCDC for the parking garage facilities and their related operations and maintenance. At the end of 30 years (9/30/42) the County has the option to purchase the Avenue A East Garage for $1. (See Note G – Capital Leases Payable).
As of September 30, 2014, the County had the following outstanding contractual commitments:
Contract Paid Remaining Project Name Amount to Date Commitment 911 Computer Rack System $ 657,739 $ 6,484 $ 651,255 Harris Ranch Communications 246, 031 69,333 176,698 EMS Ridenbaugh 66,600 44,298 22,302 WIF Front Entry & Admin Building 2,033,791 298,209 1,735,582 Landfill Scrubber 3,247,079 2,662,579 584,500 Total Remaining Commitments $ 3,170,337
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ADA COUNTY Notes to the Financial Statements For the Year Ended September 30, 2014
N. Other Post-Employment Benefits The County provides postemployment health care to its retirees and their enrolled dependents at the time of their retirement up to age 65 (Medicare eligible). To be eligible for the benefits, an employee must be at least 55 years of age, or at least 50 if they qualify under PERSI’s “Rule of 80”, and have accrued at least 10 years of continuous service as a County employee. Benefits include medical coverage, vision and dental.
Ada County made significant changes to its plan in fiscal year 2012. The County provides and maintains a flat $3,600 subsidy for retirees, with no increase for inflation, and provides no subsidy for spouses or dependents of retirees. The County uses a third-party to recalculate the required monthly contribution every year and requires retirees to pay the entire true cost that was calculated. Currently, 39 participants take advantage of this benefit and pay the total cost of the premium (employer and employee portions). In fiscal year 2014, 10 employees were added, 10 become Medicare eligible and were removed and 1 dropped coverage.
After the changes to the plan Ada County initiated an actuarial study by Buck Consultants regarding the County’s OPEB liability. Calculations were obtained using the “Projected Unit Credit” method. At that time, the County’s Actuarial Accrued Liability (AAL) was $1,875,000 and the Annual Required Contribution (ARC) was $174,000.
It is the County’s position the AAL will be maintained at the above level in future years and is not significant to the financial statements. As such, the County did not accrue a liability in this fiscal year and does not anticipate accruing any liability in future years.
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REQUIRED SUPPLEMENTARY INFORMATION
Ada County General Fund Schedule of Revenue, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Property taxes $ 64,742,990 $ 64,742,990 $ 64,675,187 $ (67,803) Sales tax allocation 15,300,000 15,300,000 15,625,729 325,729 State shared 4,497,622 4,497,622 5,454,569 956,947 Payments in lieu of taxes 570,000 570,000 768,397 198,397 Licenses and permits 1,241,325 1,256,015 1,250,880 (5,135) Charges for services 22,276,343 22,795,859 22,391,235 (404,624) Grants 696,397 2,194,239 1,296,628 (897,611) Interest income 1,000,000 1,000,411 930,543 (69,868) Miscellaneous 1,840,323 1,855,864 5,995,274 4,139,410
Total general fund revenues $ 112,165,000 $ 114,213,000 $ 118,388,442 $ 4,175,442
Expenditures: General Government Clerk of the District Court: Personal services $ 2,398,894 $ 2,398,894 $ 2,297,662 $ 101,232 Other services and charges 849,480 989,212 827,665 161,547 Capital outlays 564,000 436,298 128,500 307,798
Total clerk of the district court 3,812,374 3,824,404 3,253,827 570,577
Treasurer: Personal services 952,633 952,633 865,403 87,230 Other services and charges 325,887 330,482 229,299 101,183 Capital outlays 4,950 355 - 355
Total treasurer 1,283,470 1,283,470 1,094,702 188,768
Assessor: Personal services 700,377 700,377 660,905 39,472 Other services and charges 94,070 94,070 60,657 33,413 Capital outlays - - - -
Total assessor 794,447 794,447 721,562 72,885
Assessor Motor Vehicle: Personal services 2,041,631 2,041,631 1,981,936 59,695 Other services and charges 453,058 466,644 372,271 94,373 Capital outlays 23,500 9,914 - 9,914
Total assessor motor vehicle 2,518,189 2,518,189 2,354,207 163,982
Prosecuting Attorney: Personal services 12,249,901 12,272,650 12,011,192 261,458 Other services and charges 843,098 1,598,994 897,746 701,248 Capital outlays 33,600 31,214 25,000 6,214
Total prosecuting attorney 13,126,599 13,902,858 12,933,938 968,920
The note to the required supplementary information - basis of budgeting - is an integral part of this schedule.
(Continued) 61 Ada County General Fund Schedule of Revenue, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
General Government (Continued)
Operations: Personal services 2,235,372 2,235,372 2,194,305 41,067 Other services and charges 5,741,750 5,565,425 4,824,702 740,723 Capital outlays 763,000 939,325 880,885 58,440
Total operations 8,740,122 8,740,122 7,899,892 840,230
Development Services: Personal services 1,782,436 1,782,436 1,608,204 174,232 Other services and charges 106,337 122,401 117,490 4,911 Capital outlays 10,100 151,145 - 151,145
Total development services 1,898,873 2,055,982 1,725,694 330,288
Information Technology: Personal services 3,950,523 3,950,523 3,859,486 91,037 Other services and charges 1,363,387 2,224,162 2,145,242 78,920 Capital outlays 959,768 98,993 48,276 50,717
Total information technology 6,273,678 6,273,678 6,053,004 220,674
Public Defender: Personal services 6,009,261 6,009,261 5,561,007 448,254 Other services and charges 2,195,725 2,208,008 1,727,436 480,572 Capital outlays 18,784 6,501 - 6,501
Total public defender 8,223,770 8,223,770 7,288,443 935,327
Department of Administration: Personal Services 2,236,383 2,236,383 2,120,989 115,394 Other services and charges 2,199,004 2,202,656 2,019,036 183,620 Capital outlays 15,236 11,584 - 11,584
Total administration 4,450,623 4,450,623 4,140,025 310,598
The note to the required supplementary information - basis of budgeting - is an integral part of this schedule.
62 Ada County General Fund Schedule of Revenue, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
General Government (Continued)
General: Personal services 500,000 500,000 - 500,000 Other services and charges 1,851,830 1,985,127 1,612,200 372,927 Capital outlays 380,000 246,703 235,740 10,963
Total general 2,731,830 2,731,830 1,847,940 883,890
Total general government (including capital outlays) 53,853,975 54,799,373 49,313,234 5,486,139 Less: capital outlays 2,772,938 1,932,032 1,318,401 613,631 Total general government (excluding capital outlays) $ 51,081,037 $ 52,867,341 $ 47,994,833 $ 4,872,508
Public Safety Sheriff: Personal services $ 51,449,966 $ 51,903,927 $ 51,129,871 $ 774,056 Other services and charges 7,504,324 8,224,992 7,767,270 457,722 Capital outlays 1,135,956 894,139 767,143 126,996
Total sheriff 60,090,246 61,023,058 59,664,284 1,358,774
Coroner: Personal services 1,474,272 1,474,272 1,434,189 40,083 Other services and charges 183,125 231,392 205,402 25,990 Capital outlays 38,672 40,405 38,021 2,384
Total coroner 1,696,069 1,746,069 1,677,612 68,457
Juvenile: Personal services 7,593,422 7,786,087 7,330,451 455,636 Other services and charges 679,885 2,859,595 687,960 2,171,635 Capital outlays 174,100 952,631 - 952,631
Total juvenile 8,447,407 11,598,313 8,018,411 3,579,902
Total public safety (including capital outlays) 70,233,722 74,367,440 69,360,307 5,007,133 Less: capital outlays 1,348,728 1,887,175 805,164 1,082,011 Total public safety (excluding capital outlays) $ 68,884,994 $ 72,480,265 $ 68,555,143 $ 3,925,122
Total general fund expenditures (excluding capital outlays) $ 119,966,031 $ 125,347,606 $ 116,549,976 $ 8,797,630 Add: capital outlays 4,121,666 3,819,207 2,123,565 1,695,642 Total general fund expenditures (including capital outlays) $ 124,087,697 $ 129,166,813 $ 118,673,541 $ 10,493,272
The note to the required supplementary information - basis of budgeting - is an integral part of this schedule.
(Continued)
63 Ada County General Fund Schedule of Revenue, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenue Over (Under) Expenditures (285,099)
OTHER FINANCING SOURCES (USES)
Transfers In 4,185,387 Transfers Out (800,000) Total Other Financing Sources (Uses) 3,385,387
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 3,100,288
Reconciling Items Changes Affected by Accrued Revenues (3,414,984) Changes Affected by Accrued Expenditures (323,258)
Fund Balances - Beginning of Year 45,284,796
Fund Balances - End of Year $ 44,646,842
The note to the required supplementary information - basis of budgeting - is an integral part of this schedule. 64 Ada County Charities and Welfare Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ 8,943,673 $ 8,943,673 $ 9,020,111 $ 76,438 Intergovernmental - - 3,610 3,610 Charges for services 500,000 500,000 717,058 217,058 Miscellaneous - - 2,149 2,149 Total revenues 9,443,673 9,443,673 9,742,928 299,255
Expenditures: Current- Health and welfare Personal services 1,548,626 1,548,626 1,265,599 283,027 Other services and charges 10,461,843 10,461,843 6,980,492 3,481,351 Capital outlays - - - - Total expenditures 12,010,469 12,010,469 8,246,091 3,764,378
Excess (deficiency) of revenues over expenditures and other uses, cash basis 1,496,837
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (73,580) Total Other Financing Sources (Uses) (73,580)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 1,423,257
Reconciling Items Changes Affected by Accrued Revenues 93,131 Changes Affected by Accrued Expenditures 626,360
Fund Balances - Beginning of Year 6,365,551
Fund Balance - End of Year $ 8,508,299
The note to the required supplementary information - basis of budgeting - is an integral part of this schedule.
65 Ada County______Required Supplementary Information Note to Required Supplementary Information – Basis of Budgetary Reporting, Stewardship, Compliance, and Accountability For the Year Ended September 30, 2014 ______
Basis of Budgetary Accounting
The County’s legal budget is prepared using cash basis records. Encumbrances are allowed for budgetary control purposes, but lapse at the close of the year. The Budget and Actual Schedules are prepared on the budgetary basis and include this variation from GAAP. The reconciliation at the bottom of the budget and actual statements shows the difference between the basis of budgeting and GAAP.
Stewardship, Compliance, and Accountability
Budgetary Information
The County budgets its revenues and expenditures, as is required by Idaho Code Section 31, Chapter 16. Following these guidelines, the County adopts annual appropriated budgets for General, Special Revenue, Capital Project and Enterprise Funds. All appropriated budgets for Governmental and Proprietary Funds are adopted on a non-GAAP cash basis. The following is a summary of the budgetary process for the County:
Prior to the third Monday in May, each elected official or department head submits to the Auditor's Office a proposed operating budget for the fiscal year commencing October 1. The operating budget includes proposed expenditures by department categorized by personal services and other charges and services (including capital outlay) and the means of financing them. The Auditor’s office assures the budgets are balanced. Budget hearings, give the County departments an opportunity to present their proposed budgets to the County Commissioners and the public at large.
On or before the first Monday in August, the proposed budget is submitted to the County Commissioners for review and tentative approval. When the tentative budget has been approved it must be published in the newspaper. Public budget hearings are conducted by the County on or before the Tuesday after Labor Day to obtain taxpayer comments, and upon conclusion of the hearing, the County Commissioners legally adopt the budget by a resolution in the official minutes of the board.
The budget in no event shall be greater than the amount of the advertised tentative budget. Per Idaho Code Section 31, the actual expenditures for the ensuing fiscal year shall not exceed the appropriations legally adopted by the Commissioners. The County's policy is that amounts may not be transferred between personal services and other charges and services (including capital outlay) and amounts may not be transferred between departments or funds.
Ada County may increase the total appropriations budget during the current year as grants are subsequently awarded by federal or state agencies, for donations to various departments, for carrying forward prior year incomplete major capital construction project balances and for receipt of unscheduled and/or unanticipated revenue, provided that there is no increase in anticipated property taxes. The appropriations budget may only be increased by the amount of actual revenues
66 received or carried forward in the case of major capital construction projects. Such budget revisions must be advertised, discussed in a public hearing, and adopted by a resolution from the Board of County Commissioners. The County increased the total 2014 budget by $13,294,494 which had no impact on property taxes.
The level of budgetary control (level at which expenditures may not legally exceed the appropriations) is established by the personal services and other charges and services (including capital outlay) within the department and fund.
The County employs budgetary integration as a management control device during the year for all Governmental and Proprietary Funds. All appropriations, other than those for capital improvements not yet completed, lapse at the end of the fiscal year and become null and void. However, appropriation accounts may remain open until the first Monday in November for the payment of claims incurred prior to the close of the fiscal year. Lawful claims presented thereafter against any subsequent appropriation will be provided for in the ensuing budget.
Encumbrance accounting, the recording of purchase orders, contracts and other commitments for the expenditure of monies to reserve that portion of the applicable appropriation, is employed as an extension of formal budgetary integration in all Governmental Funds. All encumbrances are canceled when appropriations lapse.
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COMBINING FINANCIAL STATEMENTS
NON-MAJOR GOVERNMENTAL FUNDS
SPECIAL REVENUE FUNDS
Special revenue funds are used to account for specific revenues that are legally restricted to expenditure for particular purposes.
Public Health - to account for the County's portion of services provided on a regional basis by the State of Idaho. Funding is provided by property tax dollars. This fund was established by authority of Idaho Code Section 31-862.
Weed Control - to account for operations of noxious weed control throughout the County. Revenues are provided primarily from user fees and property tax dollars. This fund was established by authority of Idaho Code Section 22-2406.
Pest Extermination - to account for the operation of the extermination of pests, primarily gophers, in the unincorporated areas of the County. Funding is provided by property tax dollars and minimal user fees. This fund was established by authority of Idaho Code Section 25- 2601,2602,2604.
Parks and Recreation - to account for the operation and maintenance of Barber Park as well as other recreational projects. Initial capital expenditures have been provided by federal grants. Revenues are provided by user fees and property tax dollars. This fund was established by authority of Idaho Code Section 63-805.4a.
Ad Valorem - to account for operations of the reappraisal division of the assessor's office which provides a continuing program of valuation of all properties. All parcels of property under the assessor's jurisdiction are appraised at current market value for assessment purposes. This fund was established by authority of Idaho Code Section 63-314.3.
Court Monitoring - to account for a surcharge collected on all fines for persons violating the state law against driving a motor vehicle while under the influence of alcohol, drugs or other intoxicating substance, monies may be utilized for the purchase of ignition interlock and electronic devices. The court may also utilize moneys in this fund for alcohol or drug abuse related probation, treatment or prevention programs for adults or juveniles. This fund was established by authority of Idaho Code Scection 18-8010.
District Court - to account for operations of the court exclusive of courthouse construction and remodeling costs. Funding is provided by property tax dollars, court filing fees, fines and forfeitures. This fund was established by authority of Idaho Code Section 31- 867.
Drug Court & Mental Health Court – to accumulate funds from fees charged to persons admitted into a drug court or mental health court. Moneys in this fund shall be expended exclusively for expenses incurred in connection with the drug court or mental health court programs, such as treatment, testing, and private counseling. A fee may be ordered as a condition of probation and is in addition to all other fines and fees levied. This fund was established by authority of Idaho Code Section 31-3201E.
68
SPECIAL REVENUE FUNDS (CONTINUED)
County Court Facilities - to account for court planning, remodeling and construction of court facilities. The County Court Facilities fund is separate and distinct from the District Court fund. At the discretion of the Board of County Commissioners, funds deposited in the County Court Facilities fund may be accumulated from year to year. Revenue is provided by an administrative surcharge on each civil case. This fund was established by authority of Idaho Code Section 31- 867.3.
Waterways - to account for operations of the County boat patrol and other expenditures related to improvements of public waterways within the County. Revenue is provided by user fees. This fund was established by authority of Idaho Code Section 57-1501 and 67-7013.
Emergency Communications - to account for initiation, maintenance and enhancement of a consolidated emergency communications system (911) within Ada County. A telephone user fee of seventy five cents ($.75) was authorized by the electorate of the County to provide for the funding of a consolidated communications system which is vital to enhancing the public health, safety and welfare of the residents. This fund was established by authority of Idaho Code Section 31-48.
Emergency Management Fund – to account for operations of the “Emergency Resources Management Plan” pursuant to Idaho Code Section 46, Chapter 1009. All cities within the County participate along with the County to finance the disaster preparedness plan. Revenues are also received from the Federal government.
Veterans Memorial - to assist in the maintenance, upkeep and repair of servicemen’s memorials within Ada County. This fund was established by authority of Idaho Code Section 65- 102,103.
Mosquito Abatement – to account for the abatement of mosquitoes and/or other vermin of public health importance. Revenue is provided by a levy upon taxable property within the boundaries of the district. Authorization to form a mosquito abatement district is established by Idaho Code Section 39-2801,2805.
Consolidated Elections – to account for all costs related to conducting political subdivision elections with the exception of the Ada County Highway District. Funding is provided through distribution of sales tax. This fund was established by authority of Idaho Code Section 31-809A.
69 Ada County Combining Balance Sheet Non-major Governmental Funds September 30, 2014
Special Revenue Funds
Public Weed Pest Parks and Ad Court District
Health Control Extermination Recreation Valorem Monitoring Court
Fund Fund Fund Fund Fund Fund Fund
ASSETS Cash and cash equivalents $ 8,932 $ 58,986 $ 68,335 $ 122,116 $ 206,735 $ 2,606 $ 429,274
Investments 85,599 562,414 647,088 1,169,225 1,980,257 24,978 4,073,634
Accounts receivable - 6,495 41 - - - -
Property tax receivable 1,840,930 491,419 564,888 168,533 2,894,678 - 8,018,462
Accrued interest receivable - - 1,033 - - - -
Due from other funds - 26,316 20 - - - -
Due from other agencies and units
of government - 5,021 6,995 - - - 17,193
Total assets $ 1,935,461 $1,150,651 $ 1,288,400 $1,459,874 $5,081,670 $ 27,584 $ 12,538,563
LIABILITIES Accounts payable $ - $ 57,647 $ 25,302 $ 48,678 $ 170,039 $ - $ 758,872
Due to other funds - 3,128 3, 879 991 - - 615
Unavailable/advanced revenue - - - 34,505 - - - Total liabilities - 60,775 29,181 84,174 170,039 - 759,487
DEFERRED INFLOWS Property tax 1,840,930 491,419 564,888 168,533 2,894,678 - 8,018,462
-
FUND BALANCES Restricted for:
Enabling Legislation 94,531 598,457 694,331 - - - -
Assigned for: General government - - - - 2,016,953 - -
Public safety ------
Judicial services - - - - - 27,584 3,760,614
Recreation and culture - - - 1,207,167 - - -
Total Fund Balances 94,531 598,457 694,331 1,207,167 2,016,953 27,584 3,760,614 Total liabilities, deferred inflows and fund balances $ 1,935,461 $1,150,651 $ 1,288,400 $1,459,874 $5,081,670 $ 27,584 $ 12,538,563
70 Ada County Combining Balance Sheet Non-major Governmental Funds September 30, 2014
Special Revenue Funds Total
Drug/Mental County Court Emergency Emergency Veterans Mosquito Consolidated Non-major
Health Court Facilities Waterways Communications Management Memorial Abatement Elections Governmental
Fund Fund Fund Fund Fund Fund Fund Fund Funds
$ 319,546 $ 1,758 $ 22,023 $ 1,040,250 $ 33,669 $ 133 $ 114,539 $ 79,667 $ 2,508,569
3,062,315 16,852 208,543 9,850,543 321,700 1,271 1,084,613 763,474 23,852,506
- - - 70,000 - - - - 76,536
- - - - - 19,400 934,555 - 14,932,865
- - 378 14,445 - - 1,839 - 17,695
------26,336
- - - 892 54,769 - 7,868 - 92,738 $ 3,381,861 $ 18,610 $ 230,944 $ 10,976,130 $ 410,138 $ 20,804 $ 2,143,414 $ 843,141 $ 41,507,245
$ 135,332 $ - $ 9,378 $ 316,232 $ 65,005 $ - $ 38,881 $ 58,779 $ 1,684,145
- - 20,500 22,480 114 - 11,055 - 62,762
------34,505
135,332 - 29,878 338,712 65,119 - 49,936 58,779 1,781,412
- - - - - 19,400 934,555 - 14,932,865
3,246,529 18,610 - 10,637,418 - - 1,158,923 784,362 17,233,161
------2,016,953
- - - - 345,019 - - - 345,019
------3,788,198
- - 201,066 - - 1,404 - - 1,409,637 3,246,529 18,610 201,066 10,637,418 345,019 1,404 1,158,923 784,362 24,792,968
$ 3,381,861 $ 18,610 $ 230,944 $ 10,976,130 $ 410,138 $ 20,804 $ 2,143,414 $ 843,141 $ 41,507,245
71 Ada County Combining Statement of Revenues, Expenditures, and Changes In Fund Balances Non-major Governmental Funds For the Year Ended September 30, 2014
Special Revenue Funds Public Weed Pest Parks and Ad Court District Health Control Extermination Recreation Valorem Monitoring Court Fund Fund Fund Fund Fund Fund Fund REVENUES Taxes $ 1,788,118 $ 490,050 529,082$ $ 157,736 $ 2,681,700 $ - $ 8,289,889 Licenses and permits ------Fines and forfeitures ------1,253,493 Charges for services - 250,791 696 106,032 96,935 - 782,879 Intergovernmental 1,033 11,435 28,338 106 1,582 - 1,273,752 Interest income 2,274 5,850 7,465 11,653 22,863 261 43,835 Net increase (decrease) in the fair value of investments 32 (1,375) (2,206) (2,810) (4,056) (29) (12,367) Miscellaneous - 15,267 3,600 312,390 - 37,340 136,727 Total revenues 1,791,457 772,018 566,975 585,107 2,799,024 37,572 11,768,208
EXPENDITURES Current: General government - - - - 2,741,547 - 11,170,407 Sanitation - 741,338 421,432 - - - - Public safety - - - - - 39,200 - Health and welfare 1,810,039 ------Recreational and cultural - - 532,611 - - - Capital outlay - 26,704 46,433 - - - 26,817 Total expenditures 1,810,039 768,042 467,865 532,611 2,741,547 39,200 11,197,224 Excess (deficiency) of revenues over expenditures (18,582) 3,976 99,110 52,496 57,477 (1,628) 570,984
OTHER FINANCING SOURCES (USES) Transfers (out) (2,306) (4,475) - (8,843) (18,807) (232) (31,468) Total other financing sources and uses (2,306) (4,475) - (8,843) (18,807) (232) (31,468)
Net change in fund balance (20,888) (499) 99,110 43,653 38,670 (1,860) 539,516 Fund balance, beginning of year 115,419 598,956 595,221 1,163,514 1,978,283 29,444 3,221,098
Fund balance, end of year $ 94,531 $ 598,457 694,331$ $ 1,207,167 $ 2,016,953 $ 27,584 $ 3,760,614
72 Ada County Combining Statement of Revenues, Expenditures, and Changes In Fund Balances Non-major Governmental Funds For the Year Ended September 30, 2014
Special Revenue Funds Total Drug/Mental County Court Emergency Emergency Veterans Mosquito Consolidated Non-major Health Court Facilities Waterways Communications Management Memorial Abatement Election Governmental Fund Fund Fund Fund Fund Fund Fund Fund Funds
$ - $ - $ - $ - $ - $ 19,547 $ 901,328 $ - $ 14,857,450 - - 157,779 - - - - - 157,779 ------1,253,493 394,085 3,930 - 5,550,505 - - - - 7,185,853 1,495,352 - 27,440 - 914,662 16 33,687 614,370 4,401,773 31,955 35 2,554 102,298 4,065 49 13,002 8,598 256,757
(10,743) (66) (385) (36,816) (228) 2 (3,143) (2,358) (76,548) - - 153 229,259 - - 5,297 - 740,033 1,910,649 3,899 187,541 5,845,246 918,499 19,614 950,171 620,610 28,776,590
1,319,740 ------478,201 15,709,895 ------802,883 - 1,965,653 41,197 - - 3,744,156 947,115 - - - 4,771,668 ------1,810,039 - - 196,157 - - 20,000 - - 748,768 - - - 266,063 - - 22,852 - 388,869 1,360,937 - 196,157 4,010,219 947,115 20,000 825,735 478,201 25,394,892
549,712 3,899 (8,616) 1,835,027 (28,616) (386) 124,436 142,409 3,381,698
(21,212) 31 - - (3,837) (51) - (6,240) (97,440)
(21,212) 31 - - (3,837) (51) - (6,240) (97,440)
528,500 3,930 (8,616) 1,835,027 (32,453) (437) 124,436 136,169 3,284,258 2,718,029 14,680 209,682 8,802,391 377,472 1,841 1,034,487 648,193 21,508,710
$ 3,246,529 $ 18,610 201,066$ $ 10,637,418 $ 345,019 $ 1,404 $ 1,158,923 $ 784,362 $ 24,792,968
73
BUDGET AND ACTUAL COMPARISONS
FOR GOVERNMENTAL FUNDS
OTHER THAN THE
GENERAL AND MAJOR SPECIAL REVENUE FUNDS
Ada County Capital Projects Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ - $ - $ - $ - Charges for services 197,000 197,000 201,300 4,300 Fines and forfeitures - - - - Intergovernmental - - - - Interest 481,500 481,500 541,027 59,527 Miscellaneous 500,000 500,000 500,000 - Total revenues 1,178,500 1,178,500 1,242,327 63,827
Expenditures: General Government Other services and charges 30,000 30,000 - 30,000 Debt Service- Principal retirement 3,330,000 3,330,000 3,330,000 - Interest and other debt charges 1,904,238 1,904,238 1,716,214 188,024 Total expenditures 5,264,238 5,264,238 5,046,214 218,024
Excess (deficiency) of revenues over expenditures and other uses, cash basis (3,803,887)
OTHER FINANCING SOURCES (USES)
Transfers In 500,000 Transfers Out (3,998,775) Total Other Financing Sources (Uses) (3,498,775)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses (7,302,662)
Reconciling Items Changes Affected by Accrued Revenues (543,287) Changes Affected by Accrued Expenditures/Capital Outlay -
Fund Balances - Beginning of Year 50,205,738
Fund Balance - End of Year $ 42,359,789
(Continued)
74 Ada County Public Health Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ 1,776,039 $ 1,776,039 $ 1,784,625 $ 8,586 Intergovernmental - - 1,033 1,033 Charges for services - - - - Miscellaneous - - - - Total revenues 1,776,039 1,776,039 1,785,658 9,619
Expenditures: Current - Health and welfare Other services and charges 1,810,039 1,810,039 1,810,039 - Total expenditures 1,810,039 1,810,039 1,810,039 -
Excess (deficiency) of revenues over expenditures and other uses, cash basis (24,381)
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (2,306) Total Other Financing Sources (Uses) (2,306)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses (26,687)
Reconciling Items Changes Affected by Accrued Revenues 5,799 Changes Affected by Accrued Expenditures -
Fund Balances - Beginning of Year 115,419
Fund Balance - End of Year $ 94,531
75 Ada County Weed Control Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ 486,886 $ 486,886 $ 489,106 $ 2,220 Intergovernmental - 14,625 3,965 (10,660) Charges for services 505,295 505,295 308,431 (196,864) Miscellaneous - - 15,867 15,867 Total revenues 992,181 1,006,806 817,369 (189,437)
Expenditures: Current - Sanitation Personal services 508,630 508,630 471,183 37,447 Other services and charges 446,251 465,493 264,053 201,440 Capital outlays 39,000 34,383 26,704 7,679 Total expenditures 993,881 1,008,506 761,940 246,566
Excess (deficiency) of revenues over expenditures and other uses, cash basis 55,429
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (4,475) Total Other Financing Sources (Uses) (4,475)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 50,954
Reconciling Items Changes Affected by Accrued Revenues (45,349) Changes Affected by Accrued Expenditures (6,104)
Fund Balances - Beginning of Year 598,956
Fund Balance - End of Year $ 598,457
(Continued)
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 76 tab: Weed Ada County Pest Extermination Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ 527,467 $ 527,467 $ 528,278 $ 811 Intergovernmental 16,588 16,588 28,039 11,451 Charges for services 2,375 2,375 615 (1,760) Miscellaneous - - 3,600 3,600 Interest 1,986 1,986 7,890 5,904 Total revenues 548,416 548,416 568,422 20,006
Expenditures: Current - Sanitation Personal services 150,785 150,785 122,098 28,687 Other services and charges 391,248 368,794 301,079 67,715 Capital outlays 24,000 46,454 46,433 21 Total expenditures 566,033 566,033 469,610 96,423
Excess (deficiency) of revenues over expenditures and other uses, cash basis 98,812
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out - Total Other Financing Sources (Uses) -
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 98,812
Reconciling Items Changes Affected by Accrued Revenues (1,447) Changes Affected by Accrued Expenditures 1,745
Fund Balances - Beginning of Year 595,221
Fund Balance - End of Year $ 694,331
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 77 tab: Pest Ada County Parks and Recreation Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ 156,413 $ 156,413 $ 157,420 $ 1,007 Intergovernmental - - 106 106 Charges for services 98,000 98,000 106,032 8,032 Miscellaneous 301,500 301,500 343,502 42,002 Total revenues 555,913 555,913 607,060 51,147
Expenditures: Current - Recreational and cultural Personal services 300,675 300,675 280,544 20,131 Other services and charges 260,728 280,660 265,943 14,717 Capital outlays 20,000 68 - 68 Total expenditures 581,403 581,403 546,487 34,916
Excess (deficiency) of revenues over expenditures and other uses, cash basis 60,573
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (8,843) Total Other Financing Sources (Uses) (8,843)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 51,730
Reconciling Items Changes Affected by Accrued Revenues (21,954) Changes Affected by Accrued Expenditures 13,877
Fund Balances - Beginning of Year 1,163,514
Fund Balance - End of Year $ 1,207,167
(Continued)
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 78 tab: Parks Ada County Ad Valorem Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ 2,662,027 $ 2,662,027 $ 2,676,351 $ 14,324 Intergovernmental - - 1,582 1,582 Charges for services 57,000 57,000 96,936 39,936 Miscellaneous - - 50 50 Total revenues 2,719,027 2,719,027 2,774,919 55,892
Expenditures: Current - General government Personal services 2,758,936 2,758,936 2,500,964 257,972 Other services and charges 231,317 285,270 230,170 55,100 Capital outlays 64,712 10,759 - 10,759 Total expenditures 3,054,965 3,054,965 2,731,134 323,831
Excess (deficiency) of revenues over expenditures and other uses, cash basis 43,785
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (18,807) Total Other Financing Sources (Uses) (18,807)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 24,978
Reconciling Items Changes Affected by Accrued Revenues 24,107 Changes Affected by Accrued Expenditures (10,415)
Fund Balances - Beginning of Year 1,978,283
Fund Balance - End of Year $ 2,016,953
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 79 tab: Ad Valorem Ada County Court Monitoring Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ - $ - $ - $ - Intergovernmental - - - - Charges for services - - - - Miscellaneous 45,000 45,000 37,203 (7,797) Total revenues 45,000 45,000 37,203 (7,797)
Expenditures: Current - Public safety Personal services - - - - Other services and charges 45,000 45,000 39,200 5,800 Capital outlays - - - - Total expenditures 45,000 45,000 39,200 5,800
Excess (deficiency) of revenues over expenditures and other uses, cash basis (1,997)
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (232) Total Other Financing Sources (Uses) (232)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses (2,229)
Reconciling Items Changes Affected by Accrued Revenues 369 Changes Affected by Accrued Expenditures -
Fund Balances - Beginning of Year 29,444
Fund Balance - End of Year $ 27,584
(Continued)
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 80 tab: Crt Mont Ada County District Court Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenue: Taxes $ 8,246,897 $ 8,246,897 $ 8,273,659 $ 26,762 Intergovernmental 1,235,471 1,601,471 1,254,139 (347,332) Charges for services 850,049 850,049 776,585 (73,464) Fines and forfeitures 1,404,751 1,404,751 1,262,299 (142,452) Miscellaneous 112,527 112,527 136,828 24,301 Total revenues 11,849,695 12,215,695 11,703,510 (512,185)
Expenditures: Current - General government Personal services 10,320,490 10,320,490 9,757,971 562,519 Other services and charges 1,520,429 1,920,428 1,372,467 547,961 Capital outlays 81,966 47,967 26,817 21,150 Total expenditures 11,922,885 12,288,885 11,157,255 1,131,630
Excess (deficiency) of revenues over expenditures and other uses, cash basis 546,255
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (31,468) Total Other Financing Sources (Uses) (31,468)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 514,787
Reconciling Items Changes Affected by Accrued Revenues 64,697 Changes Affected by Accrued Expenditures (39,968)
Fund Balances - Beginning of Year 3,221,098
Fund Balance - End of Year $ 3,760,614
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 81 tab: District Crt Ada County Drug Court/Mental Health Court Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ - $ - $ - $ - Intergovernmental 1,266,010 1,266,010 1,495,352 229,342 Charges for services 129,500 129,500 394,035 264,535 Licenses and permits - - - - Interest - - - - Miscellaneous - - - - Total revenues 1,395,510 1,395,510 1,889,387 493,877
Expenditures: Current - Public safety Personal services 1,063,675 1,122,249 1,036,974 85,275 Other services and charges 337,686 367,414 313,791 53,623 Capital outlays 2,600 - - - Total expenditures 1,403,961 1,489,663 1,350,765 138,898
Excess (deficiency) of revenues over expenditures and other uses, cash basis 538,622
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (21,212) Total Other Financing Sources (Uses) (21,212)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 517,410
Reconciling Items Changes Affected by Accrued Revenues 21,262 Changes Affected by Accrued Expenditures (10,172)
Fund Balances - Beginning of Year 2,718,029
Fund Balance - End of Year $ 3,246,529
(Continued)
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 82 tab: Drg Crt Ada County County Court Facilities Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ - $ - $ - $ - Charges for services - - - - Miscellaneous - - - - Total revenues - - - -
Expenditures: Current - General government Personal services - - - - Other services and charges - - - - Capital outlays - - - - Total expenditures - - - -
Excess (deficiency) of revenues over expenditures and other uses, cash basis -
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out 31 Total Other Financing Sources (Uses) 31
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 31
Reconciling Items Changes Affected by Accrued Revenues 3,899 Changes Affected by Accrued Expenditures -
Fund Balances - Beginning of Year 14,680
Fund Balance - End of Year $ 18,610
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 83 tab: Cnty Crt Fac Ada County Waterways Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ - $ - $ - $ - Intergovernmental - 27,575 27,440 (135) Charges for services - - - - Licenses and permits 173,500 173,500 157,779 (15,721) Interest 2,000 2,000 2,846 846 Miscellaneous - - 153 153 Total revenues 175,500 203,075 188,218 (14,857)
Expenditures: Current - Recreational and cultural Personal services - - - - Other services and charges 175,500 203,075 196,156 6,919 Capital outlays - - - - Total expenditures 175,500 203,075 196,156 6,919
Excess (deficiency) of revenues over expenditures and other uses, cash basis (7,938)
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out - Total Other Financing Sources (Uses) -
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses (7,938)
Reconciling Items Changes Affected by Accrued Revenues (678) Changes Affected by Accrued Expenditures -
Fund Balances - Beginning of Year 209,682
Fund Balance - End of Year $ 201,066
(Continued)
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 84 tab: Waterways Ada County Emergency Communications Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ - $ - $ - $ - Intergovernmental - - - - Charges for services 5,655,550 5,655,550 5,572,830 (82,720) Interest 57,600 57,600 107,073 49,473 Miscellaneous 2,000 2,000 229,259 227,259 Total revenues 5,715,150 5,715,150 5,909,162 194,012
Expenditures: Current - Public safety Personal services 817,975 817,975 718,837 99,138 Other services and charges 3,195,729 4,109,033 3,103,021 1,006,012 Capital outlays 2,130,000 1,216,696 179,277 1,037,419 Total expenditures 6,143,704 6,143,704 4,001,135 2,142,569
Excess (deficiency) of revenues over expenditures and other uses, cash basis 1,908,027
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out - Total Other Financing Sources (Uses) -
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 1,908,027
Reconciling Items Changes Affected by Accrued Revenues (63,916) Changes Affected by Accrued Expenditures (9,084)
Fund Balances - Beginning of Year 8,802,391
Fund Balance - End of Year $ 10,637,418
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 85 tab: Emerg Comm Ada County Emergency Management Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ - $ - $ - $ - Intergovernmental 480,551 1,228,107 755,199 (472,908) Charges for services - - - - Licenses and permits - - - - Interest - - - - Miscellaneous - - - - Total revenues 480,551 1,228,107 755,199 (472,908)
Expenditures: Current - Public safety Personal services 437,045 532,590 455,628 76,962 Other services and charges 78,998 595,586 366,926 228,660 Capital outlays - 40,365 - 40,365 Total expenditures 516,043 1,168,541 822,554 345,987
Excess (deficiency) of revenues over expenditures and other uses, cash basis (67,355)
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (3,837) Total Other Financing Sources (Uses) (3,837)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses (71,192)
Reconciling Items Changes Affected by Accrued Revenues 156,318 Changes Affected by Accrued Expenditures (117,579)
Fund Balances - Beginning of Year 377,472
Fund Balance - End of Year $ 345,019
(Continued)
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 86 tab: Emerg Mgmt Ada County Veterans Memorial Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ 19,400 $ 19,400 $ 19,508 $ 108 Intergovernmental - - 16 16 Charges for services - - - - Licenses and permits - - - - Interest - - - - Miscellaneous - - - - Total revenues 19,400 19,400 19,524 124
Expenditures: Current - Recreational and cultural Personal services - - - - Other services and charges 20,000 20,000 20,000 - Capital outlays - - - - Total expenditures 20,000 20,000 20,000 -
Excess (deficiency) of revenues over expenditures and other uses, cash basis (476)
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (51) Total Other Financing Sources (Uses) (51)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses (527)
Reconciling Items Changes Affected by Accrued Revenues 90 Changes Affected by Accrued Expenditures -
Fund Balances - Beginning of Year 1,841
Fund Balance - End of Year $ 1,404
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 87 tab: VET Ada County Mosquito Abatement Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ 894,622 $ 894,622 $ 899,499 $ 4,877 Intergovernmental 13,269 13,269 33,136 19,867 Charges for services - - - - Licenses and permits - - - - Interest - - 13,835 13,835 Miscellaneous - - 5,297 5,297 Total revenues 907,891 907,891 951,767 43,876
Expenditures: Current - Sanitation Personal services 404,959 404,959 384,090 20,869 Other services and charges 477,272 483,837 421,884 61,953 Capital outlays 48,000 41,435 22,853 18,582 Total expenditures 930,231 930,231 828,827 101,404
Excess (deficiency) of revenues over expenditures and other uses, cash basis 122,940
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out - Total Other Financing Sources (Uses) -
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 122,940
Reconciling Items Changes Affected by Accrued Revenues (1,596) Changes Affected by Accrued Expenditures 3,092
Fund Balances - Beginning of Year 1,034,487
Fund Balance - End of Year $ 1,158,923
(Continued)
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 88 tab: Mosquito Ada County Consolidated Elections Schedule of Revenues, Expenditures, and Changes in Fund Balances Budget and Actual (Non-GAAP Cash Basis) For the Year Ended September 30, 2014
Budgeted Amounts Actual Amounts Variance with Original Final (Budgetary Basis) Final Budget
Revenues: Taxes $ - $ - $ - $ - Intergovernmental 513,300 513,300 614,370 101,070 Charges for services - - - - Miscellaneous - - - - Total revenues 513,300 513,300 614,370 101,070
Expenditures: Current- General Government Personal services - - - - Other services and charges 513,300 588,300 557,491 30,809 Capital outlays - - - - Total expenditures 513,300 588,300 557,491 30,809
Excess (deficiency) of revenues over expenditures and other uses, cash basis 56,879
OTHER FINANCING SOURCES (USES)
Transfers In - Transfers Out (6,240) Total Other Financing Sources (Uses) (6,240)
Revenues and Other Financing Sources Over (Under) Expenditures and Other Financing Uses 50,639
Reconciling Items Changes Affected by Accrued Revenues 6,240 Changes Affected by Accrued Expenditures 79,290
Fund Balances - Beginning of Year 648,193
Fund Balance - End of Year $ 784,362
Z:\AUDITOR\Financial\GASB34\CAFR-FY14\CAFR TO PDF\Working Files\Budget To Actual Stmt14 89 tab: Consolidated Elec
INTERNAL SERVICE FUNDS
Internal service funds are used to account for the financing of goods or services provided by one department to other departments of the County.
Self-Funded Health Insurance - to account for the County’s self-funded health insurance program, consisting of medical, dental and vision coverage. The County became self-insured for health insurance in fiscal year 2000.
Liability Insurance - to account for the County's self-insurance for liability and auto coverage, purchased insurance for property losses, and worker's compensation insurance.
90 Ada County Internal Service Funds Combining Statement of Net Position September 30, 2014
Self-Funded Liability Health Insurance Insurance Total ASSETS Cash $ 741,569 $ 1,310,569 $ 2,052,138 Investments 7,022,216 9,757,421 16,779,637 Accrued interest receivable 10,124 16,979 27,103
Total current assets 7,773,909 11,084,969 18,858,878
Total assets 7,773,909 11,084,969 18,858,878
LIABILITIES Current liabilities: Accounts payable 617,755 90,932 708,687 Due to other funds - 74,676 74,676 Claims and judgments 1,207,470 1,493,005 2,700,475
Total current liabilities 1,825,225 1,658,613 3,483,838
Noncurrent liabilities: Claims and judgments - 9,036,341 9,036,341
Total noncurrent liabilities - 9,036,341 9,036,341
Total liabilities 1,825,225 10,694,954 12,520,179
NET POSITION Unrestricted 5,948,684 390,015 6,338,699 Total net position $ 5,948,684 $ 390,015 $ 6,338,699
91 Ada County Internal Service Funds Combining Statement of Revenues, Expenses, and Changes in Fund Net Position For the Year Ended September 30, 2014
Self-Funded Liability Health Insurance Insurance Total OPERATING REVENUES
Charges for services $ 20,205,500 $ 2,257,834 $ 22,463,334
Total operating revenues 20,205,500 2,257,834 22,463,334
OPERATING EXPENSES
Claims 15,856,412 2,857,246 18,713,658 Administration 2,674,359 573,158 3,247,517
Total operating expenses 18,530,771 3,430,404 21,961,175
Income (loss) before nonoperating income (expense) and transfers 1,674,729 (1,172,570) 502,159
NONOPERATING REVENUES (EXPENSES)
Interest income 74,757 117,296 192,053 Net increase (decrease) in the fair value of investments (30,261) (20,272) (50,533)
Total nonoperating income 44,496 97,024 141,520
Income (loss) before operating transfers 1,719,225 (1,075,546) 643,679
Transfers in - 300,000 300,000 Transfers out - (15,592) (15,592)
Change in net position 1,719,225 (791,138) 928,087
Total net position - beginning 4,229,459 1,181,153 5,410,612
Total net position - ending $ 5,948,684 $ 390,015 $ 6,338,699
92 Ada County Internal Service Funds Combining Statement of Cash Flows For the Year Ended September 30, 2014
Self-Funded Liability Health Insurance Insurance Total CASH FLOWS FROM OPERATING ACTIVITIES Cash received from services provided to other funds $ 20,205,500 $ 2,257,834 $ 22,463,334 Cash paid to suppliers for goods and contracted services (18,391,799) (2,263,804) (20,655,603)
Net cash provided by (used for) operating activities 1,813,701 (5,970) 1,807,731
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Transfer in - 300,000 300,000 Transfer out - (15,592) (15,592)
Net cash provided by (used for) noncapital financing activities - 284,408 284,408
CASH FLOWS FROM INVESTING ACTIVITIES Net (increase) decrease in investments (1,841,948) (445,932) (2,287,880) Interest income 74,677 124,626 199,303
Net cash provided by (used for) investing activities (1,767,271) (321,306) (2,088,577)
Net increase (decrease) in cash 46,430 (42,868) 3,562 Cash, beginning of year 695,139 1,353,437 2,048,576
Cash, end of year $ 741,569 $ 1,310,569 $ 2,052,138
(Continued)
93 Reconciliation of operating income to net cash provided (used) by operating activities
Self-Funded Liability Health Insurance Insurance Total
Operating income (loss) $ 1,674,729 $ (1,172,570) $ 502,159
Adjustments to reconcile operating income (loss) to net cash provided by (used for) operating activities:
Increase (decrease) in accounts payable 41,678 (28,682) 12,996 Increase (decrease) in due to other funds - 17,733 17,733 Increase (decrease) in claims and judgments 97,294 1,177,549 1,274,843
Total adjustments 138,972 1,166,600 1,305,572
Net cash provided by (used for) operating activities $ 1,813,701 $ (5,970) $ 1,807,731
Noncash investing activities for governmental internal service funds were: The net decrease in the fair value of investments for Self-Funded Health Insurance was $30,261 for the year. The net decrease in the fair value of investments for Liability Insurance was $20,272 for the year.
94
AGENCY FUNDS
Agency Funds account for the receipt and disbursement of various monies and property collected by the County, acting in the capacity of an agent, for distribution to other governmental units, organizations, or individuals.
State of Idaho - to account for monies received from court collections, sales tax, motor vehicle licenses, property tax collection for water pollution and unclaimed money.
Special Taxing Districts - to account for monies from property tax collection due to the following taxing districts: libraries, school districts, cities, cemeteries, fire protection, sewers, drainage and other miscellaneous districts.
Unapportioned Account - to account for tax and other revenues turned to the County from the Tax Collector and State of Idaho.
Court Suspense - to account for the monies received by the courts (traffic, magistrate and district) primarily comprised of filing fees, fines and bonds.
Restitution Accounts - to account for the non-treasury monies received and disbursed by the Public Defender, Prosecuting Attorney and Juvenile Departments.
Sheriff's Account - to account for non-treasury monies collected by the sheriff from writs, garnishments and delinquent property taxes (civil) and prisoner funds.
95 ADA COUNTY, IDAHO COMBINING STATEMENT OF ASSETS AND LIABILITIES AGENCY FUNDS September 30, 2014
Special Unappor- Resti- State of Taxing tioned Court tution Sheriff's Idaho Districts Account Suspense Accounts Account Total
Assets Cash $ 3,431,002 $ 866,467 $ 1,887,868 $ 2,625,965 $ 33,623 $ 1,083,087 $ 9,928,012 Accounts Receivable 633,730 88,687 - - - - 722,417
Total assets $ 4,064,732 $ 955,154 $ 1,887,868 $ 2,625,965 $ 33,623 $ 1,083,087 $ 10,650,429 96 Liabilities Accounts payable $ 15,499 $ 5,261 $ - $ 31,139 $ - $ - $ 51,899 Fines and appearance bonds to be remitted - - - 1,872,409 - - 1,872,409 Fiduciary fund liabilities: Judgements held in trust - - - - - 958,466 958,466 Tax receipts held in trust - - 1,887,868 - - - 1,887,868 Due to prisoners - - - - - 124,621 124,621 Due to victims - - - - 33,623 - 33,623 Due to other agencies and units of government 4,049,233 949,893 - 722,417 - - 5,721,543
Total liabilities $ 4,064,732 $ 955,154 $ 1,887,868 $ 2,625,965 $ 33,623 $ 1,083,087 $ 10,650,429
ADA COUNTY, IDAHO COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES AGENCY FUNDS FOR THE YEAR ENDED SEPTEMBER 30, 2014
Balance Balance FUND 9/30/13 Additions Deductions 9/30/14
State of Idaho Assets: Cash $ 3,088,892 $ 46,419,155 $ 46,077,045 $ 3,431,002 Accounts Receivable 430,327 633,730 430,327 633,730
Total Assets $ 3,519,219 $ 47,052,885 $ 46,507,372 $ 4,064,732
Liabilities: Accounts payable $ 33,361 $ 43,003,652 $ 43,021,514 $ 15,499 Due to other agencies and units of government 3,485,858 4,049,233 3,485, 858 4,049,233
Total liabilities $ 3,519,219 $ 47,052,885 $ 46,507,372 $ 4,064,732
Special Taxing Districts Assets: Cash $ 661,375 $ 380,577,170 $ 380,372,078 $ 866,467 Accounts Receivable 69,013 88,687 69,013 88,687
$ 730,388 $ 380,665,857 $ 380,441,091 $ 955,154
Liabilities: Accounts payable $ 20,622 $ 5,261 $ 20,622 $ 5,261 Due to other agencies and units of government 709,766 380,660,596 380,420,469 949,893
$ 730,388 $ 380,665,857 $ 380,441,091 $ 955,154
Unapportioned Assets: Cash $ 1,605,746 $ 1,653,029,391 $ 1,652,747,269 $ 1,887,868
$ 1,605,746 $ 1,653,029,391 $ 1,652,747,269 $ 1,887,868
Liabilities: Tax receipts held in trust $ 1,605,746 $ 1,653,029,391 $ 1,652,747,269 $ 1,887,868
$ 1,605,746 $ 1,653,029,391 $ 1,652,747,269 $ 1,887,868
97 ADA COUNTY, IDAHO COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES AGENCY FUNDS FOR THE YEAR ENDED SEPTEMBER 30, 2014
Balance Balance FUND 9/30/13 Additions Deductions 9/30/14
Court Suspense Assets: Cash $ 4,117,724 $ 17,570,402 $ 19,062,161 $ 2,625,965
Total Assets $ 4,117,724 $ 17,570,402 $ 19,062,161 $ 2,625,965
Liabilities: Accounts payable $ 546,070 $ 14,975,576 $ 15,490,507 $ 31,139 Due to agencies 499,340 722,417 499,340 722,417 Fines and appearance bonds to be remitted 3,072,314 1,872,409 3,072,314 1,872,409
Total liabilities $ 4,117,724 $ 17,570,402 $ 19,062,161 $ 2,625,965
Restitution Accounts Assets: Cash $ 29,016 $ 1,849,509 $ 1,844,902 $ 33,623
$ 29,016 $ 1,849,509 $ 1,844,902 $ 33,623
Liabilities: Due victims $ 29,016 $ 1,849,509 $ 1,844,902 $ 33,623
$ 29,016 $ 1,849,509 $ 1,844,902 $ 33,623
Sheriff's Accounts Assets: Cash $ 955,350 $ 15,404,017 $ 15,276,280 $ 1,083,087
$ 955,350 $ 15,404,017 $ 15,276,280 $ 1,083,087
Liabilities: Due to prisoners $ 99,472 $ 1,344,738 $ 1,319,589 $ 124,621 Judgment held in trust 855,878 14,059,279 13,956,691 958,466
$ 955,350 $ 15,404,017 $ 15,276,280 $ 1,083,087
(Continued)
98 ADA COUNTY, IDAHO COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES AGENCY FUNDS FOR THE YEAR ENDED SEPTEMBER 30, 2014
Balance Balance FUND 9/30/13 Additions Deductions 9/30/14
TOTAL ALL AGENCY FUNDS; Assets: Cash $ 10,458,103 $ 2,114,849,644 $ 2,115,379,735 $ 9,928,012 Accounts Receivable 499,340 722,417 499,340 722,417
$ 10,957,443 $ 2,115,572,061 $ 2,115,879,075 $ 10,650,429
Liabilities: Accounts payable $ 600,053 $ 57,984,489 $ 58,532,643 $ 51,899 Fines and appearance bonds to be remitted 3,072,314 1,872,409 3,072,314 1,872,409 Judgments held in trust 855,878 14,059,279 13,956,691 958,466 Tax receipts held in trust 1,605,746 1,653,029,391 1,652,747,269 1,887,868 Due to prisoners 99,472 1,344,738 1,319,589 124,621 Due to victims 29,016 1,849,509 1,844,902 33,623 Due to other agencies and units of government 4,694,964 385,432,246 384,405,667 5,721,543
$ 10,957,443 $ 2,115,572,061 $ 2,115,879,075 $ 10,650,429
99
STATISTICAL SECTION
This part of Ada County’s comprehensive annual financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the County’s overall financial health.
Contents Pages
Financial Trends (Schedules 1 – 4) These schedules contain trend information to help the reader understand how the County’s financial 100-105 performance and well-being have changed over time.
Revenue Capacity (Schedules 5 – 8) These schedules contain information to help the reader assess the County’s most significant local 106-109 revenue source, the property tax.
Debt Capacity (1) (Schedules 9 – 13) These schedules present information to help the reader assess the affordability of the County’s 110-114 current levels of outstanding debt and the County’s ability to issue additional debt in the future.
Demographic and Economic Information (Schedules 14 – 15) These schedules offer demographic and economic indicators to help the reader understand the 115-116 environment within which the County’s financial activities take place.
Operating Information (Schedules 16 – 18) These schedules contain service and infrastructure data to help the reader understand how the 117-119 information in the County’s financial report relates to the services the County provides and the activities it performs.
(1) Although Ada County has no legal margin pertaining to the issuance of debt, a hypothetical margin has been computed on Schedule 12 utilizing legal maximum property tax.
Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual financial reports for the relevant year. The County implemented GASB Statement 34 in 2003; schedules presenting government-wide information include information beginning in that year.
Schedule 1 Ada County Net Position by Component, Last Ten Fiscal Years (accrual basis of accounting) Fiscal Years 2005 2006 2007 2008
Governmental activities Net investment in capital assets $ 50,761,483 $ 54,745,311 $ 77,996,260 $ 87,719,664 Restricted 60,873,439 27,339,891 20,562,666 23,166,023 Unrestricted 40,748,998 99,934,565 109,397,452 110,577,070 Total governmental activities net position $ 152,383,920 $ 182,019,767 $ 207,956,378 $ 221,462,757
Business-type activities Net investment in capital assets $ 13,046,297 $ 28,144,613 $ 31,370,655 $ 32,861,601 Unrestricted 18,915,611 11,368,331 11,044,254 8,687,207 Total business-type activities net position $ 31,961,908 $ 39,512,944 $ 42,414,909 $ 41,548,808
Primary government Net investment in capital assets $ 63,807,780 $ 82,889,924 $ 109,366,915 $ 120,581,265 Restricted 60,873,439 27,339,891 20,562,666 23,166,023 Unrestricted 59,664,609 111,302,896 120,441,706 119,264,277 Total primary government net position $ 184,345,828 $ 221,532,711 $ 250,371,287 $ 263,011,565
100 Fiscal Years 2009 2010 2011 2012 2013 2014
$ 90,423,756 $ 88,847,732 $ 89,750,109 $ 91,217,513 $ 92,839,305 $ 89,996,230 18,833,918 19,766,888 11,602,787 14,257,039 17,750,742 20,756,482 113,753,487 115,463,248 126,125,797 119,908,182 108,470,768 102,133,803 $ 223,011,161 $ 224,077,868 $ 227,478,693 $ 225,382,734 $ 219,060,815 $ 212,886,515
$ 41,505,019 $ 44,217,618 $ 48,798,551 $ 47,883,817 $ 47,274,745 $ 49,929,979 3,760,014 2,926,742 880,345 8,015,689 12,457,323 13,434,235 $ 45,265,033 $ 47,144,360 $ 49,678,896 $ 55,899,506 $ 59,732,068 $ 63,364,214
$ 131,928,775 $ 133,065,350 $ 138,548,660 $ 139,101,330 $ 140,114,050 $ 139,926,209 18,833,918 19,766,888 11,602,787 14,257,039 17,750,742 20,756,482 117,513,501 118,389,990 127,006,142 127,923,871 120,928,091 115,568,038 $ 268,276,194 $ 271,222,228 $ 277,157,589 $ 281,282,240 $ 278,792,883 $ 276,250,729
101 Schedule 2 Ada County Changes in Net Position, Last Ten Fiscal Years (accrual basis of accounting) Fiscal Years 2005 2006 2007 2008 Expenses Governmental activities: General government $ 45,539,444 $ 46,977,794 $ 52,170,385 $ 56,754,618 Public safety 44,102,776 48,083,014 52,647,819 60,025,033 Sanitation 1,516,825 1,291,724 2,024,030 2,137,534 Health and Welfare 7,562,599 4,792,298 5,287,717 6,788,432 Recreational & Cultural 771,402 925,717 883,819 1,035,666 Education 205,473 185,584 230,756 153,879 Interest on long-term debt 3,005,333 2,061,611 2,599,255 1,974,928 Total governmental activities expenses 102,703,852 104,317,742 115,843,781 128,870,090 Business-type Activities: Emergency Medical Services 8,815,039 9,187,061 8,697,888 9,760,710 Solid Waste Management 109,108 6,768,032 8,824,916 17,424,254 Western Idaho Fair 3,126,586 3,431,519 3,511,749 3,692,851 Billing Services 3,388,534 3,283,362 3,509,084 3,810,141 Total Business-type Activities Expenses 15,439,267 22,669,974 24,543,637 34,687,956 Total Primary Government Expenses $ 118,143,119 $ 126,987,716 $ 140,387,418 $ 163,558,046 Program Revenues Governmental activities: Charges for services: General government $ 11,975,216 $ 13,145,778 $ 12,500,483 $ 10,071,190 Sanitation 385,591 347,019 369,165 365,455 Public safety 14,752,609 15,996,195 17,595,763 21,271,616 Recreational and cultural 376,537 405,336 540,643 300,632 Operating grants and contributions 6,422,511 7,043,774 5,512,550 3,705,763 Capital grants and contributions - - - - Total governmental activities program revenues 33,912,464 36,938,102 36,518,604 35,714,656 Business-type Activities: Charges for services: Emergency Medical Services 5,679,540 8,341,010 6,366,450 7,487,474 Solid Waste Management 7,458,910 10,051,962 9,545,456 13,602,397 Western Idaho Fair 3,009,623 3,517,297 3,693,718 3,644,401 Billing Services 3,413,900 3,227,213 3,297,502 4,186,425 Operating grants and contributions - - - - Capital grants and contributions - - - - Total business-type activities program revenues 19,561,973 25,137,482 22,903,126 28,920,697 Total primary government program revenues $ 53,474,437 $ 62,075,584 $ 59,421,730 $ 64,635,353 Net (Expense)/Revenue Governmental activities $ (68,791,388) $ (67,379,640) $ (79,325,177) $ (93,155,434) Business-type Activities 4,122,706 2,467,508 (1,640,511) (5,767,259) Total primary government net expense $ (64,668,682) $ (64,912,132) $ (80,965,688) $ (98,922,693) General Revenues and Other Changes in Net Position Governmental activities: Taxes Property taxes $ 64,199,339 $ 71,357,699 $ 75,125,349 $ 79,689,693 Sales taxes 12,045,623 13,731,326 14,795,681 14,459,564 Unrestricted grants and contributions 2,516,646 2,763,521 4,760,277 4,608,140 Investment earnings 3,258,628 7,387,507 9,151,715 6,354,998 Miscellaneous 757,874 1,006,073 1,428,766 1,549,418 Transfers - (139,418) - - Special items - 908,779 - - Total governmental activities 82,778,110 97,015,487 105,261,788 106,661,813 Business-type Activities: Taxes Property Taxes 2,712,800 2,987,616 3,275,673 3,567,680 Sales taxes 148,114 167,427 183,519 173,859 Investment earnings 611,726 1,232,764 998,511 919,235 Miscellaneous - 556,303 84,773 240,384 Transfers 105,617 139,418 - - Total Business-type activities 3,578,257 5,083,528 4,542,476 4,901,158 Total primary government $ 86,356,367 $ 102,099,015 $ 109,804,264 $ 111,562,971 Change in Net Position Governmental activities $ 13,986,722 $ 29,635,847 $ 25,936,611 $ 13,506,379 Business-type activities 7,700,963 7,551,036 2,901,965 (866,101) Total primary government $ 21,687,685 $ 37,186,883 $ 28,838,576 $ 12,640,278
102 Fiscal Years 2009 2010 2011 2012 2013 2014
$ 60,278,077 $ 58,584,760 $ 58,526,634 $ 61,484,228 $ 64,960,121 $ 67,640,517 66,365,684 64,925,425 68,724,187 69,645,805 70,515,247 76,746,769 2,389,758 2,532,523 2,262,190 2,177,501 2,270,585 2,231,017 9,327,152 9,948,451 10,084,812 10,458,674 11,565,125 9,356,800 1,270,222 1,080,420 1,096,802 933,979 962,831 1,309,584 ------1,943,494 2,190,645 2,140,307 2,022,206 1,885,319 1,687,617 141,574,387 139,262,224 142,834,932 146,722,393 152,159,228 158,972,304
9,891,228 10,308,696 11,363,354 11,467,618 11,499,514 12,703,334 9,948,898 9,599,649 8,013,967 5,542,775 8,841,434 9,230,298 3,528,574 3,742,215 3,810,884 3,842,484 4,144,628 4,194,142 4,190,431 4,408,850 2,395,015 4,276,903 4,510,682 4,624,633 27,559,131 28,059,410 25,583,220 25,129,780 28,996,258 30,752,407 $ 169,133,518 $ 167,321,634 $ 168,418,152 $ 171,852,173 $ 181,155,486 $ 189,724,711
$ 8,431,614 $ 8,684,928 $ 9,854,503 $ 10,420,478 $ 11,217,971 $ 10,865,803 629,343 663,617 410,989 433,674 433,548 251,487 21,473,736 20,759,001 20,855,993 21,155,331 21,263,277 21,155,720 281,368 276,481 249,440 299,805 277,457 263,811 6,679,011 5,074,372 6,344,399 4,817,043 4,166,600 5,179,449 - 459,381 319,840 172,020 352,986 112,856 37,495,072 35,917,780 38,035,164 37,298,351 37,711,839 37,829,126
7,137,575 7,543,075 7,673,408 7,662,036 8,229,702 7,817,428 12,210,403 11,054,437 11,079,603 10,652,812 10,901,172 11,794,940 3,298,213 3,275,178 3,312,926 3,779,678 4,205,818 4,534,944 3,990,866 3,683,752 1,969,200 4,453,337 4,750,930 4,901,857 - - 37,506 39,172 10,110 80,158 - - 50,078 - 133,573 - 26,637,057 25,556,442 24,122,721 26,587,035 28,231,305 29,129,327 $ 64,132,129 $ 61,474,222 $ 62,157,885 $ 63,885,386 $ 65,943,144 $ 66,958,453
$ (104,079,315) $ (103,344,444) $ (104,799,768) $ (109,424,042) $ (114,447,389) $ (121,143,178) (922,074) (2,502,968) (1,460,499) 1,457,255 (764,953) (1,623,080) $ (105,001,389) $ (105,847,412) $ (106,260,267) $ (107,966,787) $ (115,212,342) $ (122,766,258)
$ 82,630,115 $ 84,021,542 $ 83,715,268 $ 83,732,818 $ 84,799,902 $ 88,389,228 12,411,494 11,998,048 13,071,774 14,228,023 15,546,807 16,507,820 4,384,595 3,937,492 4,035,220 5,201,959 5,386,445 6,229,150 4,229,018 1,696,044 1,940,852 2,073,274 67,983 1,453,216 1,972,497 2,758,025 3,177,143 2,092,009 2,324,333 2,389,464 ------2,260,336 - - - 105,627,719 104,411,151 108,200,593 107,328,083 108,125,470 114,968,878
3,810,007 3,988,094 4,142,323 4,309,024 4,444,168 4,602,005 146,670 142,264 149,631 163,094 177,636 225,723 678,622 216,437 225,485 287,237 (24,289) 259,026 3,000 35,500 (522,404) 4,000 - 168,472 ------4,638,299 4,382,295 3,995,035 4,763,355 4,597,515 5,255,226 $ 110,266,018 $ 108,793,446 $ 112,195,628 $ 112,091,438 $ 112,722,985 $ 120,224,104
$ 1,548,404 $ 1,066,707 $ 3,400,825 $ (2,095,959) $ (6,321,919) $ (6,174,300) 3,716,225 1,879,327 2,534,536 6,220,610 3,832,562 3,632,146 $ 5,264,629 $ 2,946,034 $ 5,935,361 $ 4,124,651 $ (2,489,357) $ (2,542,154)
103 Schedule 3 Ada County Fund Balances, Governmental Funds, Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Years 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
General Fund Restricted $ 2,726,322 $ 2,961,143 $ 1,775,181 $ 1,438,037 $ 1,189,823 $ 1,216,216 $ 2,722,455 $ 2,993,967 $ 3,271,693 $ 3,589,336 Assigned 6,435,150 22,385,777 20,249,494 2,349,002 159,900 13,271,925 18,145,965 14,482,549 12,343,887 11,722,166 Unassigned 41,359,125 28,887,248 30,728,649 30,291,603 38,675,681 34,933,700 36,021,439 33,073,659 29,669,216 29,335,340 Total general fund $ 50,520,597 $ 54,234,168 $ 52,753,324 $ 34,078,642 $ 40,025,404 $ 49,421,841 $ 56,889,859 $ 50,550,175 $ 45,284,796 $ 44,646,842
All Other Governmental Funds Nonspendable $ 75,779 $ 47,720 $ - $ - $ - $ - $ - $ - $ - $ - Restricted 4,906,165 4,263,416 5,372,051 7,692,971 9,701,445 11,239,328 11,648,347 11,276,393 14,527,376 17,233,161 Assigned 32,086,858 52,632,979 55,861,205 76,126,011 68,750,220 66,918,888 65,417,987 69,094,990 63,552,623 58,427,895 Unassigned ------(1,075,123) - - - Total all other governmental funds $ 37,068,802 $ 56,944,115 $ 61,233,256 $ 83,818,982 $ 78,451,665 $ 78,158,216 $ 75,991,211 $ 80,371,383 $ 78,079,999 $ 75,661,056
Grand Total Governmental Funds $ 87,589,399 $ 111,178,283 $ 113,986,580 $ 117,897,624 $ 118,477,069 $ 127,580,057 $ 132,881,070 $ 130,921,558 $ 123,364,795 120,307,898 104 Schedule 4 Ada County Changes in Fund Balances, Governmental Funds, Last Ten Fiscal Years (modified accrual basis of accounting) Fiscal Years 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Revenues
Property Taxes $ 64,310,738 $ 71,376,370 $ 74,823,351 $ 78,690,959 $ 81,084,044 $ 83,818,073 $ 84,061,312 $ 84,460,830 $ 85,200,788 $ 88,696,710 Licenses and Permits 1,163,233 1,120,437 1,267,325 1,364,599 1,397,900 1,266,905 1,357,644 1,451,436 1,459,086 1,408,659 Intergovernmental 20,984,780 23,538,621 25,068,508 22,773,467 23,475,100 21,469,293 23,771,233 24,419,045 25,452,838 28,029,275 Charges for Services 26,028,315 28,542,424 28,854,813 29,581,174 28,008,592 27,808,125 28,775,816 30,065,568 31,121,804 30,475,153 Fines and Forfeitures 1,153,574 1,321,227 1,996,638 1,738,443 1,916,172 1,847,861 1,542,318 1,365,628 1,513,577 1,370,067 Miscellaneous 2,601,927 2,397,689 3,193,850 4,501,933 2,449,872 4,071,422 4,006,810 3,262,916 2,609,493 2,973,952 Interest Income 3,550,187 5,946,970 7,620,065 5,850,773 2,977,295 1,932,897 1,709,444 1,856,012 1,627,736 1,520,777 Net Change in Fair Value of Investments (668,647) 551,582 441,475 (337,454) 737,725 (381,744) 84,402 61,090 (1,518,931) (189,448)
Total Revenues 119,124,107 134,795,320 143,266,025 144,163,894 142,046,700 141,832,832 145,308,979 146,942,525 147,466,391 154,285,145
Expenditures
General Government 44,337,748 45,068,796 48,903,489 54,064,422 54,291,715 53,306,533 51,833,010 55,684,557 59,656,125 62,959,158 Public Safety 43,166,037 47,795,451 50,647,989 56,848,717 62,361,569 60,118,064 62,303,788 64,698,759 67,345,531 73,853,150 Sanitation 1,507,314 1,219,396 1,889,501 1,959,076 2,214,515 2,302,103 1,993,245 1,972,854 1,995,693 1,965,653 Recreational and Cultural 687,664 750,010 713,009 734,038 948,947 710,245 727,596 578,605 601,178 748,768 Education 205,473 185,584 230,756 153,879 - - - - - Health and Welfare 8,240,817 5,677,477 6,195,072 7,253,842 9,598,295 7,732,560 12,570,816 10,458,699 11,599,625 9,429,769 Capital Outlay 5,473,069 8,235,136 28,491,005 15,625,440 8,423,950 4,506,044 4,564,967 8,850,103 7,321,002 3,054,923 Debt Service
105 Interest 3,005,333 2,061,611 2,714,185 1,974,928 1,953,264 2,204,295 2,158,989 2,043,022 1,911,736 1,716,213 Principal (6,423) 682,336 394,338 1,510,000 1,675,000 1,850,000 2,415,000 2,665,000 3,025,000 3,330,000 Total expenditures 106,617,032 111,675,797 140,179,344 140,124,342 141,467,255 132,729,844 138,567,411 146,951,599 153,455,890 157,057,634 Excess of revenues over (under) expenditures 12,507,075 23,119,523 3,086,681 4,039,552 579,445 9,102,988 6,741,568 (9,074) (5,989,499) (2,772,489)
Other Financing Sources (Uses)
Proceeds from sale (1) - 908,779 ------Transfers in 3,861,358 16,372,819 27,285,697 39,379,319 5,962,638 3,829,413 2,444,485 8,029,146 1,312,238 4,685,387 Transfers out (4,080,544) (16,812,237) (27,564,081) (39,507,827) (5,962,638) (3,829,413) (3,885,040) (9,979,584) (2,879,502) (4,969,795) Proceeds from Capital lease ------Total other financing sources (uses) (219,186) 469,361 (278,384) (128,508) - - (1,440,555) (1,950,438) (1,567,264) (284,408)
Net change in fund balances $ 12,287,889 $ 23,588,884 $ 2,808,297 $ 3,911,044 $ 579,445 $ 9,102,988 $ 5,301,013 $ (1,959,512) $ (7,556,763) $ (3,056,897)
Debt service as a percentage of noncapital expenditures (2) 3.0% 2.7% 2.8% 2.8% 2.7% 3.2% 3.4% 3.4% 3.4% 3.3%
Changes in Fund Balances Total Revenues Total Expenditures (1) Proceeds from sale of real property 175,000 Proceeds from sale of land
150,000 (2) Debt service represents debt service principal and interest expenditures presented above. Noncapital expenditures represents Total Expenditures above, less the category of Capital Outlay 125,000 expenditures (which represents all capital asset expenditures for all governmental functions). Thousands 100,000
75,000 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Schedule 5 Ada County Assessed Value and Actual Value of Taxable Property (1) Last Ten Fiscal Years (in thousands of dollars)
(2) Total (3) Total Less: Total Taxable Direct Fiscal Real Personal Mobile Home Public Actual Homeowner Assessed Tax Year Property Property Property Utilities Value Tax Exemption Value Rate
2005 $ 24,573,709 $ 934,873 $ 81,397 $ 565,068 $ 26,155,047 $ 3,862,769 $ 22,292,278 $ 3.12
2006 27,462,027 1,095,288 77,413 573,664 29,208,391 4,084,464 25,123,927 3.10
2007 34,046,274 1,264,355 68,126 570,031 35,948,786 6,622,739 29,326,047 2.82
2008 41,118,797 1,442,401 67,227 604,277 43,232,702 8,123,941 35,108,762 2.52
2009 42,835,490 1,501,000 68,601 651,623 45,056,714 9,039,771 36,016,943 2.56
2010 38,415,658 1,572,854 59,756 650,489 40,698,757 8,769,962 31,928,795 2.93
2011 33,479,770 1,297,866 52,404 631,305 35,461,345 8,001,348 27,459,997 3.39
2012 30,484,252 1,203,166 48,295 701,621 32,437,334 7,171,652 25,265,682 3.70
2013 30,198,562 1,209,710 45,551 711,453 32,165,276 6,816,148 25,349,128 3. 74
2014 32,925,255 1,147,483 46,242 686,358 34,805,338 7,131,066 27,674,272 3.56
Total Taxable Assessed Value 40,000,000 35,000,000
30,000,000 25,000,000 20,000,000 15,000,000
Thousands 10,000,000 5,000,000 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Notes: (1) Property is assessed at 100% of actual value; therefore, the assessed values are equal to actual value.
(2) An initiative was passed by the Idaho electorate in 1983 which exempts certain taxable assessed value by 50% or $50,000, whichever is less. By special session in 2006, the $50,000 was changed to $75,000 for fiscal 2007 and indexed to the Federal House Price Index for each year thereafter. The new indexed amount for fiscal year 2008 was $89,325, fiscal 2009 was $100,938, fiscal 2010 was $104,471, fiscal 2011 was $101,153, fiscal 2012 was $92,040, fiscal 2013 was $83,974, and fiscal 2014 was $81,000.
(3) Idaho Legislature for FY2014 exempted the first $100,000 of personal property taxable value per company or owner.
106 Schedule 6 Ada County Direct and Overlapping Property Tax Rates, Last Ten Fiscal Years (rate per $1000 of assessed value) Fiscal Years 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
County direct rates General $ 2.86 $ 2.83 $ 2.56 $ 2.28 $ 2.30 $ 2.63 $ 3.06 $ 3.32 $ 3.36 $ 3.20 Emergency Medical Services 0.12 0.12 0.11 0.10 0.11 0.13 0.15 0.17 0.18 0.17 Pest Extermination 0.11 0.12 0.12 0.11 0.12 0.14 0.15 0.17 0.16 0.16 Mosquito Abatement 0.03 0.03 0.03 0.03 0.03 0.03 0.03 0.04 0.04 0.03 Total Direct rate 3.12 3.10 2.82 2.52 2.56 2.93 3.39 3.70 3.74 3.56
Ada County Highway district rate 1.03 1.01 0.95 0.87 0.91 1.02 1.19 1.29 1.29 1.19
City rates Boise 5.79 5.74 5.49 5.03 5.15 5.87 6.98 7.78 8.32 8.04 Eagle 1.06 1.01 0.86 0.78 0.83 1.00 1.01 1.01 1.01 0.86 Garden City 3.02 3.07 2.93 2.70 2.72 2.99 3.57 4.06 4.24 3.93 Kuna 2.33 2.18 2.11 1.94 2.06 2.60 3.16 3.63 4.01 3.74 Meridian 3.11 3.01 2.81 2.67 2.86 3.49 4.09 4.48 4.55 4.26 Star 2.35 2.39 2.18 1.82 2.04 2.73 3.16 3.58 3.49 3.00 Average of the 6 City rates 2.94 2.90 2.73 2.49 2.61 3.11 3.66 4.09 4.27 3.97 107
School district rates (1) College of Western Idaho (2) n/a n/a n/a n/a 0.11 0.13 0.16 0.18 0.19 0.18 Boise Ind School Dist #1 7.94 7.92 4.74 4.43 4.56 4.92 5.58 5.50 6.11 5.71 Meridian Jt School Dist #2 6.69 6.56 3.89 3.65 3.58 3.51 3.49 3.40 4.60 4.64 Kuna Jt School Dist #3 6.53 6.48 3.86 3.32 3.33 4.63 5.03 4.79 7.86 7.41 Melba Jt School Dist #136 6.69 7.98 5.41 5.35 5.34 4.92 5.00 5.51 4.46 2.85
Average Rate of 8 Fire districts 1.46 1.53 1.54 1.44 1.54 1.74 1.96 2.09 2.11 2.08 Average Rate of 3 Library districts 0.57 0.55 0.53 0.46 0.50 0.58 0.66 0.66 0.66 0.66 Average Rate of 7 Cemetery districts 0.08 0.07 0.07 0.06 0.06 0.07 0.07 0.08 0.08 0.08 Average Rate of 4 Sewer districts (3) 0.26 0.26 0.24 0.22 0.24 0.33 0.39 1.62 1.68 1.48 Average Rate of Miscellaneous districts 0.09 0.09 0.08 0.07 0.08 0.09 0.11 0.11 0.12 0.12
Highest Possible Combined Tax Rate 17.93 17.80 14.03 12.87 13.29 14.91 17.37 18.53 19.72 18.76 Lowest Possible Combined Tax Rate 10.81 11.10 8.12 7.13 7.33 8.18 8.82 9.14 9.64 7.75
(1) By special Idaho legislative session in 2006, funding for all School District's Maintainance & 25.00 Operations changed it's revenue source from levy to a one cent state sales tax increase. 20.00 Also, public support for tax relief caused other Districts to request lower funding amounts. Highest Possible Combined 15.00 Tax Rate (2) A new district, College of Western Idaho, first levied in FY 2009. 10.00 Lowest Possible Combined Tax Rate (3) A new district, Meridian Heights Sewer, levied 5.34 in FY 2013, significantly raising the average sewer levy. 5.00 0.00 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Schedule 7 Ada County Principal Property Tax Payers, Fiscal Year and Nine Years Ago Fiscal Year 2014 Fiscal Year 2005
Percentage of Percentage of Total County Total County Taxable Taxable Taxable Taxable Assessed Assessed Assessed Assessed Taxpayer Type of Business Valuation Rank Value Valuation Rank Value
Micron Technology Electronics Manufacturer $ 314,184,700 1 1.14 % $ 849,277,500 1 3.81 % Idaho Power Company Electric Utility 289,904,270 2 1.05 210,546,603 3 0.94 Boise Mall LLC Real Estate Holding 126,777,600 3 0.46 105,237,100 6 0.47 Albertsons Retail Grocery 123,731,400 4 0.45 129,231,000 4 0.58 United Water Idaho Inc Water Utility 113,611,774 5 0.41 86,681,538 7 0.39 Hewlett Packard Electronics Manufacturer 109,400,900 6 0.40 224,705,000 2 1.01 MP Mask Technology Center LLC Electronics Manufacturer 103,574,300 7 0.37 ------Sundance Investments Commercial Construction 95,431,100 8 0.34 79,305,100 8 0.36 Fred Meyer Stores Inc Retail Grocery 86,274,800 9 0.31 51,801,000 10 0.23 QWEST Telephone Utility 84,829,793 10 0.31 119,257,467 5 ---- GS II Meridian Crossroads LLC Real Estate Holding ------54,334,900 9 0.24
108 Ten Largest Taxpayers 1,447,720,637 5.23 % 1,910,377,208 8.03 % All Other Taxpayers 26,226,552,011 94.77 % 20,381,901,090 91.97 %
Total Ada County Market Valuation $ 27,674,272,648 100.00 % $ 22,292,278,298 100.00 %
900,000 Principal Property Tax Payers
600,000 FY 2014 FY 2005
Thousands 300,000
0 Schedule 8 Ada County Property Tax Levies and Collections, Last Ten Fiscal Years
Fiscal Collected within the Year Taxes Levied Fiscal Year of the Levy Collections Total Collections to Date Ended for the Percentage in Subsequent Percentage Sept 30 Fiscal Year Amount of Levy Years Amount of Levy
2005 $ 67,012,955 $ 66,352,900 99.02 % $ 606,948 $ 66,959,848 99.92 %
2006 74,121,204 73,457,192 99.10 623,050 74,080,242 99.94
2007 78,254,651 77,198,247 98.65 847,027 78,045,274 99.73
109 2008 83,063,301 81,224,050 97.79 1,518,824 82,742,874 99.61
2009 86,148,471 83,321,611 96.72 2,434,612 85,756,223 99.54
2010 87,575,480 85,215,903 97.31 2,056,252 87,272,155 99.65
2011 87,408,655 85,532,876 97.85 1,666,623 87,199,499 99.76
2012 87,718,521 86,245,350 98.32 1,048,036 87,293,386 99.52
2013 89,114,534 87,818,040 98.55 614,547 88,432,587 99.23
2014 92,962,182 91,874,310 98.83 - 91,874,310 98.83
Total Collections to Date 100,000,000
80,000,000
60,000,000
40,000,000
20,000,000
0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Schedule 9 Ada County Ratios of Outstanding Debt by Type, Last Ten Fiscal Years (dollars in thousands, except per capita)
Governmental Activities Business-Type Activities
Gross Gross Total Percentage Fiscal Bonded Capital Bonded Capital Primary of Personal Per Year Debt Leases (1) Debt Leases Government Income (2) Capita (2)
2005 $ - $ 54,010 $ - $ - $ 54,010 0.44 % $ 162
2006 - 52,784 - - 52,784 0.39 153
2007 - 51,820 - - 51,820 0.35 144
2008 - 50,310 - - 50,310 0.31 135
2009 - 48,635 - - 48,635 0.30 128
2010 - 46,785 - - 46,785 0.31 122
2011 - 44,370 - - 44,370 0.29 113
2012 - 41,705 - - 41,705 0.26 104
2013 - 38,680 - - 38,680 0.23 95
2014 - 35,350 - - 35,350 0.20 85
Note: Details regarding the county's outstanding debt can be found in the notes to the financial statements.
(1) In fiscal 2000, the county entered into the Court Complex Lease Agreement for 30 years of one year leases. In fiscal 2005, the Court Complex Lease Agreement was renegotiated, resulting in a revised 23-year term of one year leases.
(2) See Schedule 14 for personal income and population data used to calculate percentage and per capita.
110 Schedule 10 Ada County Ratios of Net General Bonded Debt Outstanding, Last Ten Fiscal Years (dollars in thousands, except per capita)
Debt Percentage of Gross Service Net Actual Taxable Fiscal Bonded Monies Bonded Value (1) of Per Year Debt Available Debt Property Capita (2)
2005 0 0 0 0.00 0
2006 0 0 0 0.00 0
2007 0 0 0 0.00 0
2008 0 0 0 0.00 0
2009 0 0 0 0.00 0
2010 0 0 0 0.00 0
2011 0 0 0 0.00 0
2012 0 0 0 0.00 0
2013 0 0 0 0.00 0
2014 0 0 0 0.00 0
Net Bonded Debt 8,000
6,000
4,000
2,000 Thousands
0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Notes: (1) See Schedule 5 for property value data. (2) Population data can be found in Schedule 14.
111 Schedule 11 Ada County Direct and Overlapping Governmental Activities Debt, As of September 30, 2014 (dollars in thousands)
Estimated Estimated Share of Debt Percentage Overlapping Government Unit Outstanding Applicable (1) Debt
Ada County Direct Indebtedness:
Capital Leases $ 35,350 100.000 % $ 35,350
Overlapping Bonded Indebtedness:
School District No. 1 $ 72,490 99.998 % $ 72,489 School District No. 2 133,492 99.075 % 132,257 School District No. 3 38,698 84.538 % 32,715 School District No. 136J 2,007 19.659 % 395 Boise City 67,822 100.000 % 67,822 Eagle City 1,939 100.000 % 1,939 112 Garden City 1,670 100.000 % 1,670 Kuna Fire 70 93.278 % 65 Eagle Sewer 4,459 100.000 % 4,459 Kuna Library 284 84.538 % 240 Meridian Library 290 100.000 % 290
Subtotal, overlapping debt 323,221 314,340
Total direct and overlapping debt $ 358,571 $ 349,690
Sources: Assessed value data used to estimate applicable percentages provided by the Ada County Board of Equalization and assessment. Debt outstanding data provided by each governmental unit.
Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the county. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of Ada County. This process recognizes that, when considering the county's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government.
(1) For debt repaid with property taxes, the percentage of overlapping debt applicable is estimated using taxable assessed property values. Applicable percentages were estimated by determining the portion of another governmental unit's taxable assessed value that is within the county's boundaries and dividing it by each unit's total taxable assessed value.
Schedule 12 Ada County Legal Debt Margin Information, Last Ten Fiscal Years (dollars in thousands)
Legal Debt Margin Calculation for Fiscal Year 2014 Maximum Property Tax for Ada County Governmental Funds $111,279 Debt Limit (could exceed above with 2/3 vote of qualified electors) $111,279 Debt applicable to limit: General obligation bonds - Less: amount set aside for repayment of debt - Total net debt applicable to limit - Legal debt margin $111,279
Fiscal Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 113
(1) Debt limit $ 63,234 $ 68,494 $ 75,407 $ 82,576 $ 87,879 $ 91,895 $ 98,566 $ 101,987 106,086$ $ 111,279
Total net debt applicable to limit ------
Legal debt margin $ 63,234 $ 68,494 $ 75,407 $ 82,576 $ 87,879 $ 91,895 $ 98,566 $ 101,987 106,086$ $ 111,279
Total net debt applicable to the limit as a percentage of debt limit 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
Source: Schedule 10 - Net Debt, Idaho Code 31-Chapter 19; 57-Chapter 2, and Maximum Allowable Non-exempt Property Tax Budget
Note: Under Idaho State Code, bonded debt may be incurred by Counties when authorized by a vote of 2/3 of qualified electors, as a levy on all taxable property within the county - with no other limitations. Debt may be offset by amounts set aside for repaying general obligation bonds.
(1) Although voters could authorize bonded indebtedness in excess of current statutory property tax limits, the County has no such debt - therefore, the amounts shown for debt limit are equal to the County's legal property tax limit. Schedule 13 Ada County Pledged-Revenue Coverage, Last Ten Fiscal Years (dollars in thousands)
Courthouse Corridor Capital Lease Bldg. Sales Charge Gen'l Less: Net Fiscal Sales Rent & Lease for Fund Bal. Total Operating Available Debt Service Year Tax Savings Revenue Services Interest Transfer Revenue Expenses Revenue Principal Interest Coverage
2005 2,000 141 500 869 582 91 4,183 16 4,167 (6) 3,005 1.39 2006 2,000 145 500 955 1,231 - 4,831 27 4,804 682 2,062 1.75 2007 2,000 148 500 1,054 3,600 - 7,302 25 7,277 394 2,714 2.34 2008 2,000 121 500 1,072 1,464 2,675 7,832 25 7,807 1,510 1,975 2.24
114 2009 2,000 124 500 1,106 1,565 - 5,295 25 5,270 1,675 1,953 1.45 2010 2,000 128 500 1,100 574 - 4,302 25 4,277 1,850 2,204 1.06 2011 (1) - - 500 990 645 - 2,135 2 2,133 2,415 2,159 0.47 2012 - - 500 940 654 - 2,094 - 2,094 2,665 2,043 0.44 2013 - - 500 875 (40) - 1,335 - 1,335 3,025 1,912 0.27 2014 (2) - - 500 201 499 (4,000) (2,800) - (2,800) 3,330 1,716 -0.55
Note: Details regarding the County's outstanding debt can be found in the notes to the financial statements. (1) Ada County's planned use of fund balance to cover the increasing lease payments begins. (2) Ada County's planned transfer back to the General Fund begins; payoff of lease Ausugst 15, 2015. Schedule 14 Ada County Demographic and Economic Statistics, Last Ten Calendar and Fiscal Years
Personal Per Income Capita Calendar (in thousands Personal Median Fiscal School Unemployment (1) (2) (2) (3) (4) (5) Year Population of dollars) Income Age Year Enrollment Rate
2004 332,523 12,152,307 36,543 34.4 2005 58,790 3.5 2005 344,727 13,575,500 39,302 34.9 2006 60,326 2.9 2006 359,035 14,626,750 40,445 34.6 2007 62,249 2.2 2007 373,406 16,056,425 43,028 34.6 2008 63,594 3.2 2008 380,920 16,036,284 42,273 34.7 2009 64,714 9.1 2009 384,656 15,319,574 39,827 34.3 2010 65,706 8.2 2010 393,531 15,200,836 38,633 35.0 2011 66,564 7.8 2011 400,842 15,927,071 39,734 35.2 2012 67,133 6.3 2012 409,061 16,665,376 40,741 35.4 2013 68,191 5.6 2013 416,464 17,656,163 42,395 36.2 2014 67,191 3.4
Population School Enrollment
450,000 70,000
65,000 400,000 60,000 350,000 55,000
300,000 50,000 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Per Capita Income Unemployment Rate
Ada Idaho USA Ada Idaho USA $50,000 10% 8% $40,000 6% 4% $30,000 2% $20,000 0% 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Notes: Calendar Year is from January to December. For example, the last Calendar Year shown above (2013) is from 1/1/13 - 12/31/13. Fiscal Year is from October to September. For example, the last Fiscal Year shown above (2014) is from 10/1/13 - 9/30/14.
Sources: (1) Population Division, U.S. Census Bureau for July 1, 2013, release date September, 2014. (2) Bureau of Economic Accounts (BEA) for 2013, release date November 20, 2014. (3) U.S. Census Bureau American Community Survey for 2013, release date September 18, 2014. (4) Idaho State Dept of Education for the 2013-2014 School Year. (5) Idaho Department of Labor, Public Affairs. Beginning fiscal 2009, the reported unemployment rate changed from a 12 month average to the single last month of the fiscal year (FY 2013 = September 2013). This provides a better reflection of the present economy.
115 Schedule 15 Ada County Principal Employers, Fiscal Year and Nine Years ago
Fiscal Year 2014 Fiscal Year 2005
Percentage of Percentage of Total County Total County Employer Employees Rank Employment (1) Employees Rank Employment (1)
State of Idaho (Includes BSU) 12,500 - 13,000 1 5.89% 12,000 - 12,500 1 6.17% St Luke's Health Systems 8,000 - 8,500 2 3.81% 4,000 - 4,500 4 2.14% Micron Technology Inc 5,500 - 6,000 3 2.66% 9,000 - 9,500 2 4.66% Federal Government 5,000 - 5,500 4 2.42% 5,000 - 5,500 3 2.64% Meridian School District #2 4,000 - 4,500 5 1.96% 3,500 - 4,000 5 1.89% Independent School District of Boise City #1 3,500 - 4,000 6 1.73% 3,500 - 4,000 5 1.89% St Alphonsus Regional Medical Center 3,000 - 3,500 7 1.50% 2,500 - 3,000 9 1.38% Hewlett-Packard Co 2,000 - 2,500 8 1.04% 3,500 - 4,000 5 1.89% City of Boise 1,500 - 2,000 10 0.81% 1,500 - 2,000 10 0.88% Albertsons 1,500 - 2,000 10 0.81% 3,500 - 4,000 5 1.89% Ada County 1,500 - 2,000 10 0.81% 1,000 - 1,500 - 0.63% Idaho Power Co 1,500 - 2,000 10 0.81% 1,000 - 1,500 - 0.63%
Totals 49,500 - 55,500 24.25% 50,000 - 56,000 26.69%
Total Number of Ada County Nonfarm Jobs 216,500 198,700
Number of Employees FY 2014 FY 2005 15,000
10,000
5,000
0
(1) Percentage calculated from the mid-point of the given range of Employees and from the total Nonfarm Jobs in Ada County
Source: Idaho Department of Labor, Communications & Research Bureau November 17, 2014
116 Schedule 16 Ada County Full-time Equivalent County Government Employees by Function/Program, Last Ten Fiscal Years
Full-time Equivalent Employees as of September 30 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Function/Program Governmental Activities General Government Clerk/Auditor 125 129 136 136 133 133 136 141 144 139 Treasurer 12 12 12 12 12 12 12 14 14 14 Assessor 12 11 12 12 12 11 11 9 11 11 Prosecutor 115 123 130 139 140 132 135 137 138 139 Motor Veh. 46 47 48 51 42 39 38 38 38 38 Operations 29 31 34 34 33 33 33 36 36 36 Information Technology 40 41 44 43 43 43 43 46 46 45 Development Services 51 59 54 37 21 19 18 19 22 22 Public Defender 48 50 55 58 59 58 60 63 67 67 Ad Valorem 43 46 46 47 45 45 44 44 44 44 District Court 75 79 88 88 88 83 84 92 99 100 Other 25 28 28 29 27 27 26 29 27 30 Public Safety Sheriff 494 512 526 593 577 577 595 611 631 637 Juvenile 132 128 125 143 130 130 131 139 139 138 Other 20 22 23 27 28 27 28 33 33 33 Sanitation Weed 15 17 17 20 20 21 17 20 19 19 Health & Welfare Charities 22 22 21 22 21 22 23 23 23 22 Recreation & Culture Parks & Waterways 6 7 6 5 5 5 6 6 5 6 Total Governmental Activities 1310 1364 1405 1496 1436 1417 1440 1500 1536 1540
Business-type Activities Emerg Medical Svcs 105 110 127 122 122 122 123 126 127 127 Solid Waste Mgmt 12 12 12 12 12 13 12 14 16 16 Western Idaho Fair 15 16 14 14 14 14 14 14 14 14 Total Business-Type Activities 132 138 153 148 148 149 149 154 157 157
Grand Total 1,442 1,502 1,558 1,644 1,584 1,566 1,589 1,654 1,693 1,697
Source: Ada County Auditors Office
117 Schedule 17 Ada County Operating Indicators by Function/Program, Last Ten Fiscal Years Fiscal Year 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Function/Program Governmental activities: General government Number of recorded documents 186,104 209,802 181,285 145,792 140,572 124,804 110,723 131,044 148,428 107,584 Primary election, May Number of registered voters at cutoff ----- 179,457 ----- 184,624 ----- 198,302 ----- 204,112 ----- 203,963 Additional election day registrants (1) ----- 2,892 ----- 2,562 ----- 3,011 ----- 1,544 ----- 3,259 Percentage voting in: ----- 21.2% ----- 21.1% ----- 21.8% ----- 16.4% ----- 21.3% General election, November Number of registered voters at cutoff 169,413 ----- 181,741 ----- 194,758 ----- 200,250 ----- 212,950 ----- Additional election day registrants (1) 38,755 ----- 20,332 ----- 38,279 ----- 15,107 ----- 38,517 ----- Percentage voting in: 75.8% ----- 61.1% ----- 78.0% ----- 56.7% ----- 73.2% ----- Building permits issued (outside cities) Residential 1,512 1,359 598 459 176 193 160 308 431 396 Commercial 25 31 37 19 8 3 13 12 5 20 Combined value of Building permits (in 1,000's) $ 319,012 $ 323,530 $ 169,064 $ 117,609 $ 37,753 $ 45,108 $ 34,305 $ 62,915 $ 91,399 $ 102,231 County-wide new construction value (in 1,000's) $ 1,182,393 $ 1,720,591 $ 1,952,266 $ 1,311,835 $ 701,031 $ 370,451 $ 259,291 $ 291,989 $ 482,194 $ 809,255 Number of Taxable property parcels assessed 168,269 178,567 186,359 186,806 190,097 189,734 190,236 191,154 191,186 192,659 Motor vehicles registered (Calendar Year) (2) 304,185 311,451 309,164 311,489 299,807 312,324 317,490 361,810 333,918 n/a Drivers licenses in force (Calendar Year) (2) 242,653 251,822 259,768 265,195 269,456 274,164 280,056 285,790 292,728 n/a 118 Sanitation Acres sprayed for weed control 7,500 5,800 6,000 4,272 3,261 5,915 4,535 3,601 3,980 2,542 Acres sprayed for pest control 65,000 50,000 76,000 106,668 125,548 42,322 51,927 37,022 14,145 7,611 Acres sprayed for mosquito abatement (3) 31,493 141,526 48,939 68,135 105,609 57,744 54,258 56,651 105,262 78,865 Public Safety Traffic violations issued 58,738 61,729 63,682 68,311 62,648 61,276 60,358 66,533 57,717 59,765 Physical arrests 23,386 26,704 24,857 25,038 24,672 21,502 20,455 18,647 16,599 17,042 Average jail population 949 916 923 946 887 879 892 865 787 865 Health and welfare Number of cases processed 2,429 2,075 2,401 2,485 2,477 2,893 2,699 2,605 2,590 2,177 Recreational and cultural Barber Park Number of Visitors (4) 78,454 75,747 94,253 127,507 111,338 113,275 110,800 111,399 159,136 154,491 Education Amount of tuition assistance to county residents for community college (5) $ 205,473 $ 185,584 $ 230,756 $ 153,879 $ - $ - $ - $ - $ - $ -
Business-type activities: Number of emergency responses 18,268 20,147 21,221 22,803 20,018 21,157 22,370 22,132 23,365 24,328 Cubic Yards of trash deposited at landfill (in 1,000's) 1,884 1,846 1,917 1,580 1,340 1,211 1,195 1,177 1,198 1,263 Western Idaho Fair attendance 219,601 228,836 243,610 232,674 225,046 217,769 224,731 233,523 222,461 223,335
(1) Information of same day election registrants has been added to this schedule. (2) Calendar year information for 2014 not available as of September 30, 2014 (3) In 2004, a more effective adulticiding formula was used to treat acres after mosquitos became resistant to the previous formula. In 2006, Ada County had the highest number of West Nile reported cases in the nation. An emergency aerial application covering 84,366 acres was completed. (4) In 2005, an alcohol ban on the Boise River by the City of Boise caused a drop in visitors. In 2008, off season and event center users were tracked and counted for the first time. In 2013, shuttle riders were tracked and counted for the first time. (5) Beginning with the fall semester of 2008, tuition assistance has been discontinued due to the formation of local taxing district College of Western Idaho.
Sources: Various county departments, Idaho Transportation Department and Idaho Secretary of State Website Schedule 18 Ada County Capital Asset Statistics by Function/Program, Last Ten Fiscal Years Fiscal Year Function/Program 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Governmental activities: General Government (1) Land (acres) 27 27 27 32 27 27 27 284 284 284 Buildings 5 5 6 7 8 8 9 9 9 9 Vehicles 13 14 17 16 15 15 16 16 16 16
Public Safety Land (acres) 28 28 28 28 29 29 29 29 29 29 Buildings 11 11 11 11 11 11 11 11 11 11 Patrol Vehicles 80 96 97 106 115 116 119 122 118 132 Other Vehicles 24 27 33 39 42 40 42 47 49 52 Boats 2 2 2 3 3 3 2 3 3 3
Sanitation Land (acres) 2 2 2 2 2 2 2 2 2 2 Buildings 2 0 3 3 3 3 3 3 3 3 Vehicles 9 9 11 12 13 14 14 16 17 19
Recreational and Cultural Land (acres) 68 82 82 82 106 106 106 106 124 124 Buildings 4 4 5 5 5 5 5 5 5 5 Vehicles 2 2 2 2 2 2 2 2 2 2 Boats 1 1 1 1 1 1 1 1 1 1
Business-type activities: Emergency Medical Services Land (acres) 0 0 0 1 3 4 4 4 4 4 Buildings 4 4 4 6 5 5 8 8 7 7 Ambulances 21 23 24 26 27 26 26 28 30 29 Other Vehicles 9 9 9 10 10 10 12 13 14 16
Solid Waste Management Land (acres) 2713 2,716 2,716 2,716 2,716 2,716 2,716 2,716 2,716 2,667 Buildings 3 3 3 3 3 3 3 3 3 3 Vehicles 4 4 4 4 4 4 7 6 7 6
Western Idaho Fair Land (acres) 240 240 240 240 240 240 240 240 240 240 Buildings 11 13 13 13 13 13 13 13 13 13 Vehicles 2 2 2 2 2 2 2 2 2 2
(1) Ada County purchased 256.5 acres called Red Hawks Estate in 2012.
Source: Capital Asset Reports and Various County Departments
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SINGLE AUDIT
Independent Auditor’s Report on Internal control over Financial Reporting and on Compliance with Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards
To the Board of Commissioners Ada County, Idaho
We have audited, in accordance with the auditing standards generally accepted in the United States of American and in standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of Ada County, Idaho, (County) as of and for the year ended September 30, 2014, and the related notes to the financial statements, which collectively comprise the County’s basic financial statements and have issued our report thereon dated December 22, 2014.
Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered County's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of County’s internal control. Accordingly, we do not express an opinion on the effectiveness of County’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.
Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over financial reporting that might be material weaknesses or significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that were not identified. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not yet been identified.
Compliance and Other Matters As part of obtaining reasonable assurance about whether the County’s financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the
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www.eidebailly.com
877 W. Main St., Ste. 800 | Boise, ID 83702-5858 | T 208.344.7150 | F 208.344.7435 | EOE determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.
Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the County’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
Boise, Idaho December 22, 2014
121
Independent Auditor’s Report on Compliance for the Major Program and Report on Internal Control over Compliance Required by OMB Circular A-133
To the Board of Commissioners Ada County, Idaho
Report on Compliance for the Major Federal Program We have audited Ada County, Idaho’s (County) compliance with the types of compliance requirements described in the OMB Circular A-133 Compliance Supplement that could have a direct and material effect on each of the County’s major federal programs for the year ended September 30, 2014. The County’s major federal programs are identified in the summary of auditor’s results section of the accompanying schedule of findings and questioned costs.
Management’s Responsibility Management is responsible for compliance with the requirements of laws, regulations, contracts and grants applicable to its federal programs.
Auditor’s Responsibility Our responsibility is to express an opinion on the compliance for each of Ada County’s major federal programs based on our audit of the types of compliance requirements referred to above. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about Ada County’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances.
We believe that our audit provides reasonable basis for our opinion on compliance for each major federal program. However, our audit does not provide a legal determination of the County’s compliance.
Opinion on the Major Federal Program In our opinion, Ada County complied, in all material respects, with the compliance requirements referred to above that could have a direct and material effect on its major Federal program for the year ended September 30, 2014.
Report on Internal Control over Compliance Management of Ada County is responsible for establishing and maintaining effective internal control over compliance with the compliance requirements referred to above. In planning and performing our audit of compliance, we considered Ada County’s internal control over compliance with the types of requirements that could have a direct and material effect on each major federal program to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on
122
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877 W. Main St., Ste. 800 | Boise, ID 83702-5858 | T 208.344.7150 | F 208.344.7435 | EOE compliance for each major federal program and to test and report on internal control over compliance in accordance with OMB Circular A-133, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance.
Accordingly, we do not express an opinion on the effectiveness of the Ada County’s internal control over compliance.
A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a compliance requirement will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.
Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of OMB Circular A-133. Accordingly, this report is not suitable for any other purpose.
Boise, Idaho December 22, 2014
123 ADA COUNTY, IDAHO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS FOR THE YEAR ENDED SEPTEMBER 30, 2014
FEDERAL GRANT/ FEDERAL CFDA PROJECT TOTAL PROGRAM TITLE NUMBER NUMBER EXPENDITURES
Department of Agriculture
Pass Through Payments From State of Idaho Superintendent of Public Instruction:
Cash Assistance: School Breakfast Program (a) 10.553 - $ 20,331
National School Lunch Program (a) 10.555 - 36,843
Non-Cash Assistance (Commodities): National School Lunch Program (a) 10.555 - 4,893
Total Department of Agriculture 62,067
Department of the Interior-Bureau of Land Mgmt
Pass Through Payments From State of Idaho Department of Agriculture:
Invasive and Noxious Plant Management 15.230 L11AC20096 8,304
Department of the Interior-National Park Service
Pass Through Payments From State of Idaho Department of Historic Preservation:
Historic Preservation Fund Grants-In-Aid 15.904 16-13-31919 7,000 PA-AF-00052
Department of Justice
Violence Against Women Act Court Training and Improvement 16.013 2013-FL-AX-0002 21,471
Violence Against Women Act Court Training and Improvement- 16.013 2013-FL-AX-0004 12,543 Mentor Court Violence Against Women Act Court Training and Improvement - Total 16.013 34,014
Grants to Encourage Arrest Policies and Enforcement 16.590 2007-WE-AX-0012 96,616 of Protection Orders Program - Prosecutor
Grants to Encourage Arrest Policies and Enforcement 16.590 2013-WE-AX-0048 64,584 of Protection Orders Program - Prosecutor
Grants to Encourage Arrest Policies and Enforcement 16.590 2007-WE-AX-0012 14,049 of Protection Orders Program - Sheriff Grants to Encourage Arrest Policies and Enforcement of Protection Orders Program - Total 16.590 175,249
(continued)
124 ADA COUNTY, IDAHO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS FOR THE YEAR ENDED SEPTEMBER 30, 2014
FEDERAL GRANT/ FEDERAL CFDA PROJECT TOTAL PROGRAM TITLE NUMBER NUMBER EXPENDITURES
State Criminal Alien Assistance Program 16.606 2013-AP-BX-0769 39,799
Edward Byrne Memorial Justice Assistance Grant Program (b) 16.738 2011-DJ-BX-2485 83,598
Pass Through Payments From City of Boise:
Edward Byrne Memorial Justice Assistance Grant Program (b) 16.738 2013-DJ-BX-0886 24,915
Pass Through Payments From State of Idaho Department of Juvenile Corrections:
Juvenile Accountability Block Grant 16.523 11-JA41-01 20,624 12-JA41-01
Juvenile Justice & Delinquency Prevention-Allocation to States 16.540 11-JJ41-01 5,474
Pass Through Payments From State of Idaho State Police:
Edward Byrne Memorial Justice Assistance Grant (b) 16.738 13-BJAGPP 49,950
Total Department of Justice 433,623
Department of Transportation
Pass Through Payments From State of Idaho Department of Transportation:
Highway Planning & Construction 20.205 V119120 492 V139900
National Priority Safety Programs 20.616 1,157
Total Department of Transportation 1,649
Department of Health & Human Services
Pass Through Payments From State of Idaho Department of Health and Welfare:
National Bioterrorism Hospital Preparedness Program - Coroner 93.889 - 47,621
National Bioterrorism Hospital Preparedness Program - EMS 93.889 - 1,500 National Bioterrorism Hospital Preparedness Program - Total 93.889 49,121
Centers for Disease Control and Prevention-Chronic Disease 93.945 HC818300 1,120 Prevention and Control
Total Department of Health & Human Services 50,241
125 ADA COUNTY, IDAHO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS FOR THE YEAR ENDED SEPTEMBER 30, 2014
FEDERAL GRANT/ FEDERAL CFDA PROJECT TOTAL PROGRAM TITLE NUMBER NUMBER EXPENDITURES
United States Coast Guard
Pass Through Payments From State of Idaho Department of Parks and Recreation:
Boating Safety Financial Assistance 97.012 - 29,221
Department of Homeland Security
Pass Through Payments From State of Idaho Military Division:
Emergency Management Performance Grant 97.042 EMW-2012-EP-00065 245,428 EMW-2013-EP-00061
Homeland Security Grant Program - State Preparedness Equipment Grant 97.067 EMW-2011-SS-00018 345,456 EMW-2012-SS-00136 EMW-2013-SS-00149
Homeland Security Grant Program - Training & Exercise 97.067 EMW-2011-SS-00018 35,365
Homeland Security Grant Program - Training & Exercise Shared 97.067 EMW-2011-SS-00018 34,638
Homeland Security Grant Program - Administration 97.067 EMW-2012-SS-00136 4,152
Homeland Security Grant Program - Citizen Corp 97.067 EMW-2011-SS-00018 10,016
Homeland Security Grant Program - Emergency Planning 97.067 EMW-2011-SS-00018 159,636
Homeland Security Grant Program - Community Preparedness 97.067 EMW-2012-SS-00136 12,684
Homeland Security Grant Program - 2013 Homeland Security 97.067 EMW-2013-SS-00149 56,532 Homeland Security Grant Program - Total 97.067 658,479
Total Department of Homeland Security 903,907
Other Federal Assistance
Pass Through Payments From State of Idaho Secretary of State:
Help America Vote Act 93.617 - 9,328
TOTAL FEDERAL ASSISTANCE $ 1,505,340
(a) School Lunch Cluster - $62,067 (b) Justice Assistance Cluster - $158,463
See Notes to the Schedule of Expenditures of Federal Awards.
126 ADA COUNTY, IDAHO NOTES TO SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS FOR THE YEAR ENDED SEPTEMBER 30, 2014
1. The Schedule of Expenditures of Federal Awards presents the activity of all federal financial assistance programs of Ada County, Idaho. The reporting entity is defined in Note I-A to the County’s basic financial statements.
2. The Schedule of Expenditures of Federal Awards is presented using the accrual basis of accounting as described in Note I-C to the County’s basic financial statements.
3. The major program is identified in the Schedule of Findings and Questioned Costs.
127 ADA COUNTY SCHEDULE OF FINDINGS AND QUESTIONED COSTS YEAR ENDED SEPTEMBER 30, 2014
SECTION I - Summary of Auditor’s Results
Financial Statements
Type of auditor’s report issued: Unmodified
Internal control over financial reporting: Material weaknesses identified? No Significant deficiencies identified not considered to be material weaknesses? None reported
Noncompliance material to financial statements noted? No
Federal Awards
Internal Control over major programs: Material weaknesses identified? No Significant deficiencies identified not considered to be material weaknesses? None reported
Type of auditor’s report issued on compliance for major programs: Unmodified
Any audit findings disclosed that are required to be reported in accordance with Circular A-133, Section 510(a)? No
Identification of major programs:
CFDA Number Name of Federal Program
97.067 U.S. Department of Homeland Security – Homeland Security Grant Program
Dollar threshold used to distinguish between Type A and Type B programs: $ 300,000
Auditee qualified as low-risk auditee? Yes
SECTION II - Financial Statement Findings None
SECTION III - Federal Award Findings and Questioned Costs None
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